As a Rule of Thumb, the Poisson Distribution Can Be

question 17

True/False

As a rule of thumb, the Poisson distribution can be used to approximate a binomial distribution when n ≥ 20 and π ≤ .05.

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Definitions:

Financial Liabilities

Obligations that require a company to pay money to another entity, including loans, bonds payable, and accounts payable.

Borrowing Cost

A financial expense encompassing interest and other costs incurred by an entity in connection with the borrowing of funds.