An Internet of Things company deploys a system that comprises a fixed number n of “things”/devices. In order to reinforce thesecurity, the company recommend the owners of the devices to configure appropriately the devices.

An Internet of Things company deploys a system that comprises a fixed number n of “things”/devices. In order to reinforce thesecurity, the company recommend the owners of the devices to configure appropriately the devices. It is well know that a p percentdoes not configure the system successfully. A group of hackers decides to attack all of the company n devices, succeeding if thedevice is wrongly configured (probability of success of p). Each device i successfully attacked represent a cost Xi for the companyproportional to the distance of the technician to the device, where Xi can be modeled as a continuous random variable such thatXi ∼ Normal(µX ,σ2X).Assume n, Xi, i = 1,2,…,n are independent. Determine the following:1. The expectation and variance of the number of devices N that are compromised.2. The expectation and variance for the total monetary cost to the company on a given attack.

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