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Thus the Poisson approximation can be used to compute binomial probabilities for large n. It also makes the analysis of such probabilities easier.Typical examples are:
- number of bit errors in a received binary data file
- number of typographical errors in a printed page
Example 4 Suppose there is an error probability of 0.01 per word in typing. What is the probability that there will be more than 1 error in a page of 120 words?
Solution: Suppose X is the RV representing the number of errors per page of 120 words.
where Therefore,
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