Consider a finacial analysts predicting a 10 stocks for the week ahead, w/ prob 0.48 of 1 prediction being correct

Ftrickk

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Need help with a a homework question
Consider a finacial analysts predicting a 10 stocks for the week ahead. We have that the probability that one prediction is correct is .48.
What is the probability that this financial analyst predicts 6 stocks prices correctly?
 

MarkFL

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Hello, and welcome to FMH! :)

How many ways can we choose 6 of the 10 stocks? For each such choice, what is the probability that 6 are correct, and 4 are incorrect? Notice that we are essentially talking about the binomial probability formula. :)
 

pka

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Need help with a a homework question Consider a finacial analysts predicting a 10 stocks for the week ahead. We have that the probability that one prediction is correct is .48. What is the probability that this financial analyst predicts 6 stocks prices correctly?
This a comment. I have no doubt that the problem means that we are to take the predictions as independent with probability \(\displaystyle 0.48\).
However, I could see how a test taker could read "the probability that one prediction is correct is .48" as one in ten is correct.
It seems the question should be better put.
 
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