In this exercise, we discuss the hypergeometric distribution in more detail. When sampling is done without replacement

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In this exercise, we discuss the hypergeometric distribution in more detail. When sampling is done without replacement from a finite population, the hypergeometric distribution is the exact probability distribution for the number of members sampled that have a specified attribute. The hypergeometric probability formula is where X denotes the number of members sampled that have the specified attribute, N is the population size, n is the sample size, and p is the population proportion.
In this exercise, we discuss the hypergeometric distribution in more

To illustrate, suppose that a customer purchases 4 fuses from a shipment of 250, of which 94% are not defective. Let a success correspond to a fuse that is not defective.
a. Determine N, n, and p.
b. Use the hypergeometric probability formula to find the probability distribution of the number of nondefective fuses the customer gets.
Key Fact 5.6 shows that a hypergeometric distribution can be approximated by a binomial distribution, provided the sample size does not exceed 5% of the population size. In particular, you can use the binomial probability formula

In this exercise, we discuss the hypergeometric distribution in more

with n = 4 and p = 0.94, to approximate the probability distribution of the number of nondefective fuses that the customer gets.
c. Obtain the binomial distribution with parameters n = 4 and p = 0.94.
d. Compare the hypergeometric distribution that you obtained in part (b) with the binomial distribution that you obtained in part (c).

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...
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