A Binomial Distribution Is Better Than a Poisson Distribution to Describe

question 62

True/False

A binomial distribution is better than a Poisson distribution to describe the occurrence of major oil spills in the Gulf of Mexico.

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Definitions:

Standard Deviation

A statistical measure that represents the dispersion or variability of a set of data points or the distribution around the mean.

Risk-Free Asset

An investment that provides a guaranteed return with no chance of loss.

Expected Rate

The expected rate often refers to the anticipated return on an investment over a specific period, factoring in all known information and risks.

Standard Deviation

A measure of the dispersion or spread of data points in a data set, indicating how much variation exists from the average.