3: Binomial Calculations

Using the Binomial Model allows us to make some very important and useful calculations about real world situations where the model can be applied. We give some examples of these Binomial Calculations

S1: EXCEL Calculations -- how to use EXCEL commands to calculate Binomial Probs

S2: Binomial Problems -- Standard problems and solutions, using EXCEL

S3: Deviations of a Fair Coin -- We show that deviations become smaller with increasing sample size

S4: Conditions For Binomial Models -- Certain conditions we need to check to ensure that the Binomial Model is applicable

S5: Counterexamples -- failure of conditions leads to failure of Binomial Model