Models of the Time Variability of BHC: Light Curves, PSD, Lags
  We present a model for the aperiodic variablity of accreting Black Hole Candidates (BHC) along with model light curves. According to the model this variability is the combined outcome of random (Poisson) injection of soft photons near the center of an extended {\sl inhomogeneous} distribution of hot electrons (similar to those advocated by the ADAF or ADIOS flows) and the stochastic nature of Compton scattering which converts these soft photons into the observed high energy radiation. Thus, the timing properties (PSD, lags, coherence) of the BHC light curves reflect, to a large extent, the properties of the scattering medium (which in this approximation acts as a combination of a {\sl linear} amplifier/filter) and they can be used to probe its structure, most notably the density profile of the scattering medium. The model accounts well for the observed PSDs and lags and also the reduction in the RMS variability and the increase in the characteristic PSD frequencies with increasing source luminosity. The electron density profiles obtained to date are consistent mainly with those of ADIOS but also with pure ADAF flows. 
Demosthenes Kazanas