Instructions for questions 1-3: Sketch the distribution and shade the area corresponding to the probability you want to find. Then, find the probability. 1. A finance company is interested in the default rate of its clients. The company has recently issued 100 loans. Historically, 10% of its clients have defaulted on their loans. Use the normal approximation to answer this question. 1) Find the probability that 12 or less of these clients will default on their loans. 2) Find the probability that 14 or more of these clients will default on their loans. 3) Find the probability that exactly 10 of these clients will default on their loans.
Instructions for questions 1-3: Sketch the distribution and shade the area corresponding to the probability you want to find. Then, find the probability. 1. A finance company is interested in the default rate of its clients. The company has recently issued 100 loans. Historically, 10% of its clients have defaulted on their loans. Use the normal approximation to answer this question. 1) Find the probability that 12 or less of these clients will default on their loans. 2) Find the probability that 14 or more of these clients will default on their loans. 3) Find the probability that exactly 10 of these clients will default on their loans.
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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Transcribed Image Text:Instructions for questions 1-3: Sketch the distribution and shade the area corresponding to the
probability you want to find. Then, find the probability.
1. A finance company is interested in the default rate of its clients. The company has recently issued 100
loans. Historically, 10% of its clients have defaulted on their loans. Use the normal approximation to
answer this question.
1) Find the probability that 12 or less of these clients will default on their loans.
savolgtos
2) Find the probability that 14 or more of these clients will default on their loans.
3) Find the probability that exactly 10 of these clients will default on their loans.
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