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Glossary

A

Adding or Subtracting a Constant

Criticality: 2

A linear transformation where a constant value is added to or subtracted from every value of a random variable, shifting its center but not its spread or shape.

Example:

If a teacher adds 5 bonus points to everyone's test score (X), the new score Y = X + 5 is an example of adding a constant.

C

Center

Criticality: 2

A measure of the typical or central value of a distribution, often represented by the mean or median.

Example:

The mean number of hours students study per week is a measure of the center of the study time distribution.

Combining Random Variables

Criticality: 3

The process of creating a new random variable by adding or subtracting two or more existing random variables.

Example:

If X is the time to complete task A and Y is the time to complete task B, then X + Y represents combining random variables to find the total time.

E

Expected Value of the Sum/Difference of Two Random Variables

Criticality: 3

The rule stating that the mean of a sum or difference of random variables is simply the sum or difference of their individual means.

Example:

If the average time to bake a cake is 45 minutes and the average time to frost it is 15 minutes, the expected value of the sum (total time) is 45 + 15 = 60 minutes.

I

Independence (of random variables)

Criticality: 3

A condition where the outcome of one random variable does not affect the outcome of another random variable.

Example:

The number of heads you get on one coin flip is independent of the number of heads you get on a second coin flip.

L

Linear Transformations of a Random Variable

Criticality: 3

Operations that change a random variable by adding/subtracting a constant or multiplying/dividing by a constant, affecting its center and/or spread.

Example:

If the temperature in Celsius (C) is a random variable, converting it to Fahrenheit (F = 1.8C + 32) is a linear transformation.

Location

Criticality: 1

Refers to where the distribution is positioned on the number line, influenced by measures of center.

Example:

If all test scores are shifted up by 10 points, the location of the entire distribution of scores moves to the right.

M

Mean (Expected Value)

Criticality: 3

The average value of a random variable over many trials, calculated as the sum of each possible value multiplied by its probability.

Example:

The mean number of defective items produced per hour in a factory might be 3.5, indicating the average expectation.

Multiplying or Dividing by a Constant

Criticality: 2

A linear transformation where every value of a random variable is multiplied or divided by a constant, affecting both its center and spread but not its shape.

Example:

If a currency exchange rate changes, multiplying your foreign currency amount (X) by the new rate (e.g., Y = 0.85X) is an example of multiplying by a constant.

S

Shape

Criticality: 1

Describes the overall form of a distribution, such as symmetric, skewed, or bimodal.

Example:

A distribution of human weights might be slightly right-skewed, indicating its shape.

Spread

Criticality: 3

A measure of the variability or dispersion of data points in a distribution, often represented by standard deviation or IQR.

Example:

A large spread in student heights means there's a wide range from the shortest to the tallest student.

Standard Deviation

Criticality: 3

A measure of the typical distance of values in a distribution from the mean, indicating the variability or spread.

Example:

If the standard deviation of daily temperatures is 2 degrees, it means temperatures typically vary by about 2 degrees from the average.

Standard Deviation of the Sum/Difference of Two Random Variables

Criticality: 3

The rule for calculating the standard deviation of a sum or difference of independent random variables, which involves adding their variances and then taking the square root.

Example:

If the standard deviation of commute time by car is 5 min and by train is 3 min, the standard deviation of the difference in commute times is found by √(5² + 3²) = √34 minutes.

V

Variance

Criticality: 3

The square of the standard deviation, representing the average squared distance of each data point from the mean.

Example:

If the standard deviation of a stock's daily price change is 2,its[objectObject]is2, its [object Object] is4, indicating the squared variability.