Binomial distribution

The binomial distribution is used where there are two outcomes and the probability of an outcome remains constant regardless of the # times the experiment is repeated (Independent events: $P(r)={n \choose r}p^{r}(1-p)^{n-r}$

An elementary example is this: roll a standard die ten times and count the number of sixes. The distribution of this random number is a binomial distribution with n = 10 and p = 1/6. As another example, flip a coin three times and count the number of heads. The distribution of this random number is a binomial distribution with n = 3 and p = 1/2.

Try out a bit with /static/files/MBI/Module%207/binomial.xlsx

Part of M7-Quantitative Decision Methods-S2 - Probability distributions See also:http://en.wikipedia.org/wiki/Binomial_distribution