Given a Binomial Distribution with N Trials and Probability P $\le$

question 132

Multiple Choice

Given a binomial distribution with n trials and probability p of a success on any trial,a conventional rule of thumb is that the normal distribution will provide an adequate approximation of the binomial distribution if

• A) np \(\le\) 5 and n(1- p)\(\le\) 5
• B) np \(\ge\) 5 and np(1 -p)\(\ge\) 5
• C) np \(\ge\) 5 and n(1 -p)\(\ge\) 5
• D) None of these choices.

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Stock Split

A corporate action in which a company divides its existing shares into multiple shares to boost the liquidity of the shares.

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The portion of net income not distributed as dividends but retained by the company to reinvest in its core business or to pay debt.

Stock Split

A corporate action where a company divides its existing shares into multiple shares to boost the liquidity of the shares, though the overall market capitalization remains the same.