Applications and Technology
Apply discrete distributions to real problems and learn to use technology
Lesson Objectives
By the end of this lesson, you will be able to:
- Compare different discrete distributions and choose the right one
- Apply binomial distribution to complex real-world scenarios
- Use technology (calculators, software) to compute binomial probabilities
- Understand when normal approximation can be used for binomial
- Recognize other discrete distributions (Poisson preview)
1. Choosing the Right Distribution
- Is the random variable discrete or continuous?
- Discrete → Continue to #2
- Continuous → Use continuous distributions (Module 5)
- Does it satisfy the four binomial conditions?
- Yes → Use binomial distribution
- No → Determine which condition is violated
- If not binomial, what's violated?
- Sampling without replacement → Hypergeometric
- Variable number of trials → Geometric or Negative Binomial
- Counting rare events in interval → Poisson
Example 1: Choosing Distributions
Scenario A: A company receives 500 customer calls per day. Count the number of complaint calls (historically 3% are complaints).
Analysis:
- Discrete (counting)
- Fixed n = 500
- Two outcomes (complaint or not)
- Independent (reasonable assumption)
- Constant p = 0.03
- Use BINOMIAL with n = 500, p = 0.03
Scenario B: Count the number of emails received in an hour (average is 15 per hour).
Analysis:
- Discrete (counting)
- No fixed n (not a set number of "trials")
- This is counting events in a time interval
- Use POISSON distribution (not binomial)
Scenario C: Deal cards until you get an ace. Count number of cards dealt.
Analysis:
- Discrete (counting)
- Variable n (stop when ace appears)
- Use GEOMETRIC distribution (not binomial)
2. Complex Binomial Applications
Example 2: Quality Control Problem
Scenario: A factory produces computer chips. Quality control tests show 5% are defective. A batch of 50 chips is randomly selected for inspection.
Questions to answer:
- What's the probability of finding exactly 3 defective chips?
- What's the probability of finding at most 2 defective chips?
- How many defects do we expect in a batch of 50?
Setup: n = 50, p = 0.05 (5% defect rate)
Answer 1: Exactly 3 defects
P(X = 3) = C(50,3) × (0.05)³ × (0.95)⁴⁷
= 19,600 × 0.000125 × 0.0934
≈ 0.228 or 22.8%
Answer 2: At most 2 defects
P(X ≤ 2) = P(X=0) + P(X=1) + P(X=2)
This requires multiple calculations. Using technology is recommended!
P(X ≤ 2) ≈ 0.542 or 54.2%
Answer 3: Expected defects
μ = np = 50 × 0.05 = 2.5 defects
σ = √(np(1-p)) = √(50 × 0.05 × 0.95) = √2.375 ≈ 1.54 defects
Example 3: Medical Treatment
Scenario: A new treatment is effective for 75% of patients. A clinic treats 20 patients.
Questions:
- What's the probability at least 18 patients improve?
- What's the probability fewer than 12 improve?
Setup: n = 20, p = 0.75
Answer 1: At least 18 improve
P(X ≥ 18) = P(X=18) + P(X=19) + P(X=20)
Using binomial formula for each:
P(X=18) = C(20,18) × (0.75)¹⁸ × (0.25)² ≈ 0.0669
P(X=19) = C(20,19) × (0.75)¹⁹ × (0.25)¹ ≈ 0.0211
P(X=20) = C(20,20) × (0.75)²⁰ × (0.25)⁰ ≈ 0.0032
P(X ≥ 18) ≈ 0.0669 + 0.0211 + 0.0032 = 0.091 or 9.1%
Answer 2: Fewer than 12 improve
P(X < 12) = P(X ≤ 11) - calculated using technology ≈ 0.073 or 7.3%
3. Using Technology for Binomial Calculations
For large n or complex probability questions (like P(X ≥ k)), manual calculation becomes tedious. Technology makes these calculations much faster and more accurate.
Calculator and Software Functions
| Tool | Function | Example |
|---|---|---|
| TI-84 Calculator | binompdf(n, p, k) for P(X=k) binomcdf(n, p, k) for P(X≤k) |
binompdf(50, 0.05, 3) = 0.228 |
| Excel | =BINOM.DIST(k, n, p, FALSE) for P(X=k) =BINOM.DIST(k, n, p, TRUE) for P(X≤k) |
=BINOM.DIST(3, 50, 0.05, FALSE) |
| R | dbinom(k, n, p) for P(X=k) pbinom(k, n, p) for P(X≤k) |
dbinom(3, 50, 0.05) |
| Python | scipy.stats.binom.pmf(k, n, p) scipy.stats.binom.cdf(k, n, p) |
binom.pmf(3, 50, 0.05) |
- Always verify inputs: check n, p, and k are correct
- For P(X ≥ k), use: P(X ≥ k) = 1 - P(X ≤ k-1)
- For P(a < X < b), use: P(X ≤ b-1) - P(X ≤ a)
- Check answers make sense (probabilities between 0 and 1)
4. Normal Approximation to Binomial
When n is large and p is not too close to 0 or 1, the binomial distribution can be approximated by a normal distribution. This makes calculations even easier!
Conditions for Normal Approximation
The binomial distribution can be approximated by normal if:
If conditions are met, use:
X ~ N(μ = np, σ = √(np(1-p)))
Example 4: Normal Approximation
Question: Flip a fair coin 100 times. Approximate P(X ≥ 60 heads).
Check conditions:
np = 100(0.5) = 50 ≥ 10
n(1-p) = 100(0.5) = 50 ≥ 10
Normal approximation is appropriate!
Parameters:
μ = np = 50
σ = √(np(1-p)) = √25 = 5
Approximation: X ~ N(50, 5)
P(X ≥ 60) ≈ P(Z ≥ (60-50)/5) = P(Z ≥ 2.0) ≈ 0.023
Interpretation: Only about 2.3% chance of getting 60+ heads in 100 flips.
If np < 10 or n(1-p) < 10, the approximation is poor. Use the exact binomial formula or technology instead. The binomial distribution is too skewed when p is extreme.
5. Preview: Other Discrete Distributions
Poisson Distribution
Used for counting the number of rare events occurring in a fixed interval (time, space, volume). Examples: Number of emails per hour, accidents per month, defects per square meter.
Parameter: λ (lambda) = average number of events
Formula: P(X = k) = (e^(-λ) × λ^k) / k!
Geometric Distribution
Used when counting the number of trials needed to get the first success. Examples: Rolls until first 6, flips until first heads, calls until first sale.
Parameter: p = probability of success
Formula: P(X = k) = (1-p)^(k-1) × p
These distributions will be explored in more advanced statistics courses. For now, focus on mastering the binomial distribution!
Check Your Understanding
Question 1: Why is sampling without replacement NOT binomial?
Answer: When sampling without replacement, the probability of success changes after each draw. This violates the "constant probability" condition. For example, drawing aces from a deck: P(first ace) = 4/52, but P(second ace | first was ace) = 3/51.
Question 2: Can you use normal approximation for n=20, p=0.05? Why or why not?
Answer: No. Check: np = 20(0.05) = 1 < 10. The np ≥ 10 condition is violated. The distribution is too skewed when p is this small. Use exact binomial instead.
Question 3: Using a calculator, how would you find P(X ≥ 7) for a binomial with n=20, p=0.3?
Answer: Use the complement rule:
P(X ≥ 7) = 1 - P(X ≤ 6) = 1 - binomcdf(20, 0.3, 6)
On TI-84: 1 - binomcdf(20, 0.3, 6) ≈ 0.392
Question 4: What type of distribution models "number of phone calls received per hour"?
Answer: Poisson distribution. We're counting rare events (phone calls) in a fixed time interval (per hour), with no fixed number of "trials." This doesn't fit binomial conditions.
Summary
- Choose binomial when all four FTIC conditions are met
- Use technology (calculators, Excel, R, Python) for complex probability calculations
- Normal approximation works when np ≥ 10 and n(1-p) ≥ 10
- Other discrete distributions (Poisson, Geometric) apply when binomial conditions are violated
- Always verify conditions before applying any distribution