I'm working on a problem that requires you to use a binomial distribution to solve the problem.
Now we want to determine x such that
P[X > x] =< 0.01
or, equivalently,
0.99 =< P[X=<x]
which is equal to
P[X=<x] => 0.99 (I added this part)
...
The following table summarizes the selection process for x:
x P[X=x] P[X=<x]
0 (0.98)^20 = 0.668 0.668
1 20(0.02)(0.98)^19=0.272 0.940
I'm pretty sure I understand how they derived the formula for the inequality what I don't understand is how they derived the numbers that go into the table. Can somebody please explain this part? Any help would be appreciated.
$$ P\left(X\leq0\right) = P\left(X=0\right) = 0.668,\\ P\left(X\leq 1\right) = P\left(X=0\right) + P\left(X=1\right) $$ thus subbing your numbers in we find
$$ P\left(X\leq 1\right) = 0.668 + 0.272 = 0.94 $$