Chapter 12: Problem 27
For \(n=100\) and \(p=0.01\), compute \(P\left(S_{n}=0\right)\) (a) exactly, (b) by using a Poisson approximation, and (c) by using a normal approximation.
Short Answer
Expert verified
(a) 0.366, (b) 0.368, (c) 0.309
Step by step solution
01
Understanding the Problem
The problem involves finding the probability that in a binomial distribution with parameters \(n = 100\) and \(p = 0.01\), there are 0 successes. We will calculate this using the exact binomial formula, Poisson approximation, and normal approximation.
02
Exact Solution Using Binomial Distribution
The exact solution can be calculated using the binomial probability formula: \[ P(X=k) = \binom{n}{k} p^k (1-p)^{n-k} \]For \( k=0 \), it simplifies to: \[ P(S_n = 0) = \binom{100}{0} (0.01)^0 (0.99)^{100} = 1 \times (0.99)^{100} \]Calculating \( (0.99)^{100} \) gives approximately 0.366.
03
Poisson Approximation
Poisson approximation is suitable here because \(n\) is large, and \(p\) is small. We use:\[ \lambda = np = 100 \times 0.01 = 1 \]With \( \lambda = 1 \), the Poisson probability for 0 is:\[ P(X=0) = \frac{e^{-1} 1^0}{0!} = e^{-1} \approx 0.368 \]
04
Normal Approximation
For normal approximation, we use: \[ \mu = np = 1, \quad \sigma = \sqrt{np(1-p)} = \sqrt{0.99} \approx 0.995 \]We need to find \(P(X < 0.5)\) (consider continuity correction). Convert to the z-score:\[ z = \frac{0.5 - 1}{0.995} \approx -0.502 \]Using z-tables, \( P(Z < -0.502) \) gives approximately 0.309.
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Key Concepts
These are the key concepts you need to understand to accurately answer the question.
Poisson Approximation
The Poisson approximation is a useful tool when dealing with binomial distribution problems, especially where the number of trials, denoted as \( n \), is large, and the probability of success \( p \) is small. The central idea is simple: when you have a lot of trials, and each trial has a tiny probability of success, it's often difficult and cumbersome to directly use the binomial formula. Instead, using the Poisson distribution provides a workable approximation that is much simpler to compute.
In our specific case, we have \( n = 100 \) and \( p = 0.01 \), which means the expected number of successes, \( \lambda = np = 1 \). The Poisson probability function is given by:
\[ P(X = k) = \frac{e^{-\lambda} \lambda^k}{k!} \]
For our problem, finding the probability of zero successes means setting \( k = 0 \):
\[ P(X = 0) = \frac{e^{-1} \cdot 1^0}{0!} = e^{-1} \approx 0.368 \]
In our specific case, we have \( n = 100 \) and \( p = 0.01 \), which means the expected number of successes, \( \lambda = np = 1 \). The Poisson probability function is given by:
\[ P(X = k) = \frac{e^{-\lambda} \lambda^k}{k!} \]
For our problem, finding the probability of zero successes means setting \( k = 0 \):
\[ P(X = 0) = \frac{e^{-1} \cdot 1^0}{0!} = e^{-1} \approx 0.368 \]
- The Poisson approximation is particularly useful as it provides a close approximation to the binomial probability without immense computation.
- This method is best applied under conditions where \( n \) is large, and \( p \) is very small, as it essentially treats individual successes as rare events in a large number of trials.
Normal Approximation
The normal approximation is another method to simplify the computation of binomial probabilities, particularly for large \( n \). When both the number of trials \( n \) is large and neither \( p \) nor \( 1-p \) are very small, the binomial distribution begins to resemble a normal distribution. This is where the normal approximation comes in handy.
The parameters for the normal distribution approximation are:
- The mean \( \mu = np \)
- The standard deviation \( \sigma = \sqrt{np(1-p)} \)
In our example, \( n = 100 \) and \( p = 0.01 \), making \( \mu = 1 \) and \( \sigma \approx 0.995 \).
To use the normal approximation correctly, especially when calculating probabilities like \( P(X = 0) \), we need to apply a continuity correction by considering \( X < 0.5 \). Convert this to a z-score:
\[ z = \frac{0.5 - 1}{0.995} \approx -0.502 \]
Referencing a standard normal distribution (z) table, the probability \( P(Z < -0.502) \) is approximately 0.309.
This approximation provides a quick way to estimate binomials but should be used with care when \( n \) is small or \( p \) is close to 0 or 1.
The parameters for the normal distribution approximation are:
- The mean \( \mu = np \)
- The standard deviation \( \sigma = \sqrt{np(1-p)} \)
In our example, \( n = 100 \) and \( p = 0.01 \), making \( \mu = 1 \) and \( \sigma \approx 0.995 \).
To use the normal approximation correctly, especially when calculating probabilities like \( P(X = 0) \), we need to apply a continuity correction by considering \( X < 0.5 \). Convert this to a z-score:
\[ z = \frac{0.5 - 1}{0.995} \approx -0.502 \]
Referencing a standard normal distribution (z) table, the probability \( P(Z < -0.502) \) is approximately 0.309.
This approximation provides a quick way to estimate binomials but should be used with care when \( n \) is small or \( p \) is close to 0 or 1.
Probability Calculation
When dealing with binomial distributions, the concept of probability calculation is fundamental. It involves finding the likelihood of a certain number of successes across a fixed number of trials with a specific success probability.
The exact calculation for a binomial distribution is done using the formula:
\[ P(X = k) = \binom{n}{k} p^k (1-p)^{n-k} \]
Here \( \binom{n}{k} \) represents the number of combinations. This is also known as the binomial coefficient, which determines how many ways \( k \) successes can occur in \( n \) trials.
In our problem, we sought the probability of zero successes out of 100 trials with a success probability of 0.01.
The exact computation simplifies due to \( k=0 \):
\[ P(S_n = 0) = \binom{100}{0} (0.01)^0 (0.99)^{100} = 1 \times (0.99)^{100} \approx 0.366 \]
This methodology, while exact, can be computationally intensive for larger values of \( n \). Hence, the Poisson and normal approximations offer shortcuts that yield reasonably close results.
The exact calculation for a binomial distribution is done using the formula:
\[ P(X = k) = \binom{n}{k} p^k (1-p)^{n-k} \]
Here \( \binom{n}{k} \) represents the number of combinations. This is also known as the binomial coefficient, which determines how many ways \( k \) successes can occur in \( n \) trials.
In our problem, we sought the probability of zero successes out of 100 trials with a success probability of 0.01.
The exact computation simplifies due to \( k=0 \):
\[ P(S_n = 0) = \binom{100}{0} (0.01)^0 (0.99)^{100} = 1 \times (0.99)^{100} \approx 0.366 \]
This methodology, while exact, can be computationally intensive for larger values of \( n \). Hence, the Poisson and normal approximations offer shortcuts that yield reasonably close results.