Q5: [15] Stock Market Investing in the stock market requires a great deal of analysis. Generally, amateur investors simply guess when they invest in. Assuming that stocks come in two varieties, Good and Bad and every time one invests in a new stock, the investment has the same probability of 0.3 that it will a Good one.

(a) [2]If an amateur investor invests in 10 stocks, what will be the long term average and standard deviation of the number of Good stocks?

(b) [5]If the amateur investor wants to calculate the probability that he will have invested in at least 3 Good stocks, what value should (s)he obtain?

(c) [5]What is the probability that the investor will invest in less than 2 Bad stocks?

(d) [3]Calculate the probabilities of part (b) and (c) using MINITAB and include the MINITAB output here. Do you have the same results?