Question

Determine whether the following probability experiment represents a binomial experiment and explain the reason for your answer.

Answer 1

@jim_thompson5910 can u Help?

Answer 2

any ideas?

Answer 3

well i don't think it is A or B. I'm thinking it is C. but these questions always confuse me.

Answer 4

I think it only has 2 outcomes. The stocks can only increase or decrease. So it can't be A

Answer 5

or it may stay the same

Answer 6

but....we have these two options

the stock increases

OR

the stock doesn't increase

Answer 7

that's a much better way to phrase the situation

Answer 8

right so it can't be A

Answer 9

now is each trial independent?

Answer 10

i think so. Because the outcomes of one trial does not affect the other.

Answer 11

good, this is assuming that the stocks aren't related in some way

but overall, I think the independence assumption is valid for something like this

Answer 12

D is false because the probability is always 0.44

Answer 13

so the answer would be C

Answer 14

correct

Answer 15

THANK YOU!!!!

Answer 16

you're welcome