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Answer: Mean equals the variance
## Explanation For a Poisson distribution with mean λ: 1. **Mean = λ** 2. **Variance = λ** 3. **Standard deviation = √λ** 4. **Median** is approximately λ but not exactly equal to λ (it's approximately λ - 1/3 for large λ) Therefore: - **Mean equals the variance** (both are λ) - This is correct - Mean does NOT equal the standard deviation (mean = λ, standard deviation = √λ) - Median does NOT equal the variance - Median, mean, and variance are NOT all equal This is a key property of the Poisson distribution: **the mean and variance are equal**. This property distinguishes the Poisson distribution from other distributions like the normal distribution (where mean and variance are independent parameters) or the binomial distribution (where variance = np(1-p) ≠ mean = np).
Author: Nikitesh Somanthe
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The rate of registration for the FRM exam by candidates takes on a Poisson distribution with mean λ. Which of the following statements is correct?
A
Mean equals the standard deviation
B
Mean equals the variance
C
Median equals the variance
D
Median, mean and variance are all equal
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