3. A bank found that 25% of its loans to new businesses become delinquent. If 180 small businesses are selected randomly, what is the probability that at least 55 of them are delinquent? [A6]
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Since we are dealing with a binary outcome (either a loan is delinquent or not), we can use the binomial distribution. The binomial distribution has two parameters: n (the number of trials) and p (the probability of success in each trial). In this case, n = 180 Show more…
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