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Investment advisors agree that​ near-retirees, defined as people aged 55 to​ 65, should have balanced portfolios....

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Basic Math

Investment advisors agree that​ near-retirees, defined as peopleaged 55 to​ 65, should have balanced portfolios. Most advisorssuggest that the​ near-retirees have no more than​ 50% of theirinvestments in stocks.​ However, during the huge decline in thestock market in​ 2008, 23​% of​ near-retirees had 85​% or more oftheir investments in stocks. Suppose you have a random sample of 10people who would have been labeled as​ near-retirees in 2008.Complete parts​ (a) through​ (d) below.

a. What is the probability that during 2008 none had 85​% ormore of their investment in​ stocks? The probability is . ​(Roundto four decimal places as​ needed.)

b. What is the probability that during 2008 exactly one had 85​%or more of his or her investment in​ stocks? The probability is .​(Round to four decimal places as​ needed.)

c. What is the probability that during 2008 two or fewer had85​% or more of their investment in​ stocks? The probability is .​(Round to four decimal places as​ needed.)

d. What is the probability that during 2008 three or more had85​% or more of their investment in​ stocks? The probability is .​(Round to four decimal places as​ needed.)

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