1. The Romeros are planning their family and want an equal number of boys and girls. Mrs. Romero says that their chances are best if they plan to have two children. Mr. Romero says that they have a better chance of having an equal number of boys and girls if they plan to have 10 children. Assuming that boy and girl babies are equally likely and independent of previous births, which probability do you think is higher? Explain your reasoning.

2. An investment advisor claims that 60 percent of the stocks she recommends beat the market. To back up her claim, she recommends stocks for the coming year. In fact, each of her recommendations has a 50 percent probability of beating the market and a 50 percent probability of doing worse than the market. Assuming independence, is she more likely to have at least a 60 percent success rate if share commends 10 stocks or 100 stocks?

Answer rating: 100% (QA)

1 Probability of getting a boy B 05 Probability of getting a girl G ... View the full answer