Suppose x1 N(1, 5), x2 N(2, 3), and x3 N(2 5, 7), with correlations 1, 2 0 3, 1, 3 0 1, and 2,3 0 4 What is the distribution of x1 x2 x3 x1 (3 x2) x3 x1 x2 (0 5 x3) ...

Suppose x1 N(1, 5), x2 N(2, 3), and x3 N(2.5, 7), with correlations 1, 2

Question:

Suppose x1∼ N(1, 5), x2 ∼ N(2, 3), and x3 ∼ N(2.5, 7), with correlations ρ1, 2 = 0.3, ρ1, 3 = 0.1, and ρ2,3 = 0.4. What is the of x1+ x2 + x3? x1+ (3× x2) + x3? x1+ x2 + (0.5× x3)?
Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...