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1 0 . A business magazine rates S&P 5 0 0 mutual fund managers based upon how often their fund beats the return on the

10. A business magazine rates S&P 500 mutual fund managers based upon how often their fund beats the return on the
S&P index. Any given manager has a 50% of beating the S&P index in a given year (and 50% of not beating it), and
each years performance is mutually independent.
(a) The magazine gives its Gold Star rating to any manager who has beaten the S&P index in at least five of the
last six years. What is the probability of any given manager getting the Gold Star rating?

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