Poisson approximation to the binomial


The Honolulu Advertiser stated that in Honolulu there was an average of 661 burglaries per 100,000 households in the given year. In the Kohola Drive neighborhood there are 316 homes. Let r = number of these homes which will be burglarized in the year.

(a) Discuss why the Poisson approximation to the binomial would be a good choice for the random variable r. What is n? What is p? What is λ to the nearest tenth?

(b) What is the probability that there will be no burglaries this year in the Kohola Drive neighborhood?

(c) What is the probability that there will be no more than one burglary in the Kohola Drive neighborhood?

(d) What is the probability that there will be two or more burglaries in the Kohola Drive neighborhood?

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Basic Statistics: Poisson approximation to the binomial
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