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You may also want to look at the paper linked here: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1937879 It details how to consistently estimate the signal and noise variances (as well as measurement parameters, if you have those) using an EM algorithm. The application may not be generalizable to yours, though, so beware.


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I guess the following is what you are asking: The set of floating point numbers (let us write $\mathbf{FP}$ for it) with a given exponent and mantissa is finite. Thus the set of functions $\mathcal{F} = \{ f: \mathbf{FP} \to \mathbf{FP}\}$ with domain and range the floating point numbers is also finite. $\mathbf{FP}$ can be included in the reals $\mathbb{...


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No the book is right. You have to do 238.5 divided by 27.25 to get 8.75. The reason is becuase you have to take the uppper bound of the number of miles travelled and the lower bound of litres of petrol to get the upper bound overall.



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