Catalog Description: Probability spaces, random variables, moment generating functions, algebra of expectations, conditional and marginal distributions, multivariate distributions, order statistics, law of large numbers.
Prerequisite: AMS 301 and 310
Co-prerequisite: AMS 261 or MAT 203 or 205
3 credits
Textbook: A First Course in Probability, by Sheldon Ross, 8th Edition, Pearson
ISBN# 9780136033134
Actuarial Exam: The material in this course is the basis of the first actuarial exam, Exam P, of the Society of Actuaries . AMS 410 is a review course for Exam P, in which the material in AMS 311 is revisited in the form of practice questions for Exam P. For more details about actuarial preparation at Stony Brook see Actuarial Program
Topics
1. Probability Spaces – 3 class hours.
2. Conditional probability and independence – 4 class hours.
3. Random Variables; Special Distributions – 6 class hours.
4. Expectation – 4 class hours.
5. Joint Distributions – 4 class hours.
6. Conditional Distributions – 3 class hours.
7. Covariance and correlations – 2 class hours.
8. Moment Generating Functions – 3 class hours.
9. Transformation of variables – 4 class hours.
10. Order Statistics – 2 class hours.
11. Law of Large Numbers – 3 class hours.