I am not able to understand the example question. Would also be great if someone can describe the calculation for first part of question i.e. calculation of E[Xij] and Var[Xij].
Hi Ravkickey, It's difficult to know what you're stuck with, because the solution is given over the page, on page 20. Is there a particular line of the solution that you're stuck with?
I was trying to understand the solution part. In the part (i) of the solution I can't understand the reasoning behind the calculation of E[Xij] and Var[Xij].
Yes I understood what you mean. The problem is, we have already given you our best explanation on page 20, so I'm afraid any explanation here would only repeat the solution in the Course Notes. If there is a particular line of the solution that you're struggling with, I could help you. Which line of the solution do you not understand? For example, the first line of each solution in part (i) is taken from the formulae at the top of Page 16 of the Tables.