For Which Binomial Distribution Would a Poisson Approximation Be Acceptable

question 66

Multiple Choice

For which binomial distribution would a Poisson approximation be acceptable?

• A)n = 60, π = 0.08
• B)n = 100, π = 0.15
• C)n = 40, π = 0.03
• D)n = 20, π = 0.20

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Definitions:

Profit

The financial gain obtained when the amount earned from a business activity exceeds the expenses, costs, and taxes needed to sustain the activity.

Marginal Product

Marginal product is the additional output resulting from the use of one more unit of a variable input, holding other inputs constant.

Fertilizer

Substances used to supply essential nutrients to plants, aiming to enhance growth, yields, and quality of agricultural produce.

Bushels

A unit of volume that is used in dry measure, equal to 32 quarts or approximately 35.2 liters.