A high-frequency trading system detects that the probability of a trade execution suffering from 'micro-latency' (a delay greater than 10ms) is 0.35. Trades are analyzed in independent batches of 240.
Using a suitable approximation, estimate the probability that there are more than 80 trades with micro-latency in a single batch.
A technician monitors 3 such independent batches. Estimate the probability that there are at least 81 trades suffering from micro-latency in each of the 3 batches.
390 exam-style questions on OCR (MEI) A Level Maths 2.4 Probability Distributions, covering 2.4.1 Recognise binomial situations, 2.4.2 Probability of success p, 2.4.3 Calculate binomial probabilities, 2.4.4 Mean of the binomial distribution, 2.4.5 Expected frequencies for binomial, 2.4.6 Probability functions and discrete random variables, 2.4.7 Numerical probabilities for a simple distribution, 2.4.8 Normal distribution as a model (A-level only), 2.4.9 Shape of the Normal curve (A-level only), 2.4.10 Linear transformation and standardising (A-level only), 2.4.11 Symmetry and inflection of Normal curve (A-level only), 2.4.12 Calculate probabilities from a Normal distribution (A-level only), 2.4.13 Model with probability distributions, and 2.4 Probability Distributions. Each one has a worked solution and a mark scheme showing where the marks go.