The MAXLIKES.lng Model

Maximum Likelihood Estimation with censored data

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Find mu and sigma that maximize the log of the likelihood that we would observe a given data set,assuming the demands are Normal with mean mu and standard deviation sigma. Some of the observations are "censored" in the sense that we do not know the exact demand, only that demand was at least equal to the amount of product we stocked(which we do know).

Keywords:

Maximum Likelihood | Statistics | Censored data |