Probability Calculus 2020/2021, Homework 9 (one problem)
Name and Surname ... Student’s number ...
In the problems below, please use the following: as k – the sum of digits in your student’s number; as m – the sum of the two largest digits in your student’s number;
and as n – the smallest digit in your student’s number plus 1. For example, if an index number is 609999: k = 42, m = 18, n = 1.
Please write down the solutions (transformations, substitutions etc.), and additio- nally provide the final answer in the space specified (the answer should be a number in decimal notation, rounded to four digits).
15. On January 1st, 2021, the price for an ounce of gold amounted to 10000 crowns. Each day, the market price of an ounce of gold may rise by one, four or seven crowns: each of these scenarios is equally probable. The central bank plans an intervention if the price of an ounce exceeds 10000 + 400n + k crowns. Using the CLT, approximate the probability that the bank will not intervene during the first 100n days following January 1st, 2021. Please provide your answer as Φ(t), where Φ is the CDF of the standard normal distribution. t should be provided in decimal notation, rounded to four digits.
ANSWER: Φ
. . . .
!
Solution:
