A Modified Binomial Distribution Approximation By Poisson Distribution
Abstract
A modified Binomial distribution is obtained from a generalized Binomial distribution for a special case ?< 0. In view of the approximation of simple Binomial distribution by Poisson distribution and the modified Binomial distribution approximation of this study by Poisson distribution,it is found to be more accurate than the simple Binomial approximation by Poisson distribution provided that ?+ ? is large.
Keywords
A generalized BinomialPoisson distributionand binomial distribution
References
[1]Bright O. Osu , Samson O. Egege and Emmanuel j. Ekpeyong, “ Application Of Generalized Binomial Distribution Model for Option Pricing, American Journal of Applied Mathematics and Statistics ,5(2) pp 67-71 2017 [2]D.P Hu , Y.Q Cui and H. Yin ,“An improved Negative Binomial Approximation for Negative Hypergeometric Distribution” Applied Mechanics and Material Vol 427-429, pp 2549-2553 ,2013 [3] Dwass .M , “A generalized Binomial distribution” American Statisticians Vol 33,89-87 1979 [4]Samson O.Egege,Bright O.Osu and Carlos Granados, “ Application of a limit Function of negative hypergeometric distribution in option pricing” BISTUA 20(2) ,pp 43-47 2022 [5]Samson O.Egege , Bright O. Osu ,Kingsley Uchendu and Chiemela B. Akachi, “ An improved Poisson approximation for the generalized Binomial Distribution with Financial Application, Elixir International Journal Applied Mathematics , Vol 121 pp51509-51519 , 2018 [6]Samson O. Egege , Bright O.Osu and Chigozie Chibuisi, “ An Improved Poisson distribution and its Application in Option pricing ,Open Science Journal of mathematics and Application 6(3) , pp15-23 2018 [7]Teerapabolarn .K., “An improved Binomial distribution to approximate the Polya distribution” , International journal of Pure and Applied Mathematics Vol 93, N0 .5 pp 629-632 ,2014 [8] Wongkasem P. and Teerapabolarn K. “On Approximating a Generalized Binomial and Poisson Distribution” International Journal of Statistics and Systems Vol 3 No. 2 pp113-124 2008
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