1a)
Table 1: Joint probability distribution of Y and R Y\R r1=0.1 r2=0.5 r3=0.4 P(Y) y0= 0 0.118098 0.015625 0.023328 0.157051 y1=1 0.06561 0.078125 0.07776 0.221495 y2=2 0.01458 0.15625 0.10368 0.27451 y3=3
0.00162
0.15625 0.06912 0.22699 y4=4 0.00009 0.078125 0.02304 0.101255 y5=5 0.000002 0.015625 0.003072 0.018699 P(R) 0.2 0.5 0.3 1 Computed by using EXCEL = BINOMDIST (x,n,p,FALSE)*P(R=r) P(Y)*P(R) P(r1)=0.2 P(r2)=0.5 P(r3)=0.3 P(y0)=0.157051 0.0314102 0.0785255 0.0471153 P(y1)=0.221495 0.044299 0.1107475 0.0664485 P(y2)=0.27451