Some parts of California are particularly earth quake prone. Suppose that in one metropolitan area, 25% of

Question:

Some parts of California are particularly earth quake prone. Suppose that in one metropolitan area, 25% of all homeowners are insured against earthquake damage. Four homeowners are to be selected at random; let X denote the number among the four who have earthquake insurance.
a. Find the probability of X. [Hint: Let S denote a homeowner who has insurance and F
one who does not. Then one possible outcome is SFSS, with probability (.25) (.75) (.25) (.25) and associated X value 3. There are 15 other outcomes.]
b. Draw the corresponding probability histogram.
c. What is the most likely value for X?
d. What is the probability that at least two of the four selected have earthquake insurance?
Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...