Here are the essential concepts you must grasp in order to answer the question correctly.
Binomial Distribution
The binomial distribution models the number of successes in a fixed number of independent Bernoulli trials, each with the same probability of success. It is characterized by two parameters: n (the number of trials) and p (the probability of success). Understanding this distribution is crucial for determining when certain statistical methods can be applied.
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Mean & Standard Deviation of Binomial Distribution
Normal Approximation
The normal approximation to the binomial distribution allows us to use the normal distribution to estimate probabilities for binomial outcomes when certain conditions are met. Specifically, the conditions np ≥ 5 and nq ≥ 5 ensure that the distribution is sufficiently symmetric and bell-shaped, making the approximation valid.
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Using the Normal Distribution to Approximate Binomial Probabilities
Central Limit Theorem
The Central Limit Theorem states that the sampling distribution of the sample mean will approach a normal distribution as the sample size increases, regardless of the original distribution of the data. This theorem underpins the rationale for checking the conditions np ≥ 5 and nq ≥ 5, as it guarantees that the sampling distribution will be approximately normal under these conditions.
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