Linear transformation of a random variable

For Y = a + bX, the mean becomes a + b times the mean of X, but the standard deviation becomes |b| times the SD of X.

For Y=a+bXY = a + bX, the mean moves exactly the way the values move, μY=a+bμX\mu_Y = a + b\mu_X (mu, the mean), but the standard deviation responds only to the multiplier: σY=bσX\sigma_Y = |b|\sigma_X (sigma, the standard deviation). Adding a constant slides the whole distribution without stretching it, so it leaves the spread untouched, and the absolute value keeps the standard deviation positive when bb is negative. Suppose XX has μX=20\mu_X = 20 and σX=4\sigma_X = 4. Then X+7X + 7 has mean 2727 with standard deviation still 44, while 1003X100 - 3X has mean 1003(20)=40100 - 3(20) = 40 and standard deviation 3(4)=12|-3|(4) = 12.

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