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Maximum spread within bounds
real numbers each lie in the interval and have mean . What is the largest possible population variance (dividing by )?
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Hint
Variance equals the mean of squares minus the square of the mean; squares are convex, so push values to the ends.
Solution
- The total is , and the variance is the mean of squares minus .
- The sum of squares is largest when values sit at the endpoints, with at most one value strictly inside.
- Taking values equal to and values equal to gives total , so this is feasible, with sum of squares .
- The variance is , so the answer is .
Answer: