Question

An analyst has been studying a particular stock and has come to the following two conclusions:

• the

probability that the stock will rise on a particular day is 0.3

the rise or fall of the stock on any particular day is independent of the rise and fall of the stock on any other day

Calculate the probability that over the next week (7 days) the number of days that the stock will rise is not 3. Give your answer as a decimal to 2 decimal places.

Probability =

[1 mark]-
Statistics and Probability