Question: 2. Let W, X, Y, and Z be random variables such that: (i) Cov(W, W) = Cov(X, X) = Cov(Y,Y)= Cov(Z, Z) = 0.0802

2. Let W, X, Y, and Z be random variables such that:

2. Let W, X, Y, and Z be random variables such that: (i) Cov(W, W) = Cov(X, X) = Cov(Y,Y)= Cov(Z, Z) = 0.0802 - (ii) All other covariances are each equal to -0.0123. Calculate: Var(W+X+Y+Z). Round your final answer to four decimal places. 3. Consider a random sample of three auto insurance losses (X, X2, X3) drawn from an exponential distribution with mean 500. Let the order statis- tics be denoted as Y, Y2, Y3. Determine the probability that the sample median is less than or equal to 500. Round your final answer to four decimal places. [Hint: start by listing all the cases of (X, X2, X3) which would allow the sample median to be less than or equal to 500. The Order Statistics resources provided in the prior module might also be helpful.]

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answer 2 Calculate VarWXYZ We are given the covariances and asked to find the variance of the sum of random variables W X Y and Z The variance of a su... View full answer

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