Random Variables
Random variable: "A variable whose value is unknown or a function that assigns values to each of an experiment's outcomes" (Random Variable, 2012).
This method uses data that are known or can be estimated, including probable outcomes and the likelihood of each. If there is uncertainty about the value of a variable, analysts record all conceivable results, allocate a possibility to each, and total anticipated values using a weighted average, where the weights represent the possibilities.
Random Variable. (2012). In Investopedia. Retrieved from http://www.investopedia.com/...
