Estimate the probability of more than 60 heads in 100 fair flips with a continuity-corrected normal approximation. Compare the result with the exact binomial tail and diagnose approximation quality.
Approximate a Binomial Upper Tail with a Normal Distribution
Company: Virtu
Role: Data Scientist
Category: Statistics & Math
Difficulty: hard
Interview Round: Onsite
Let (X\sim\operatorname{Binomial}(100,0.5)). Estimate (P(X>60)) with a normal approximation, including a continuity correction. Also state the exact expression that your approximation is estimating and assess whether the approximation is reasonable.
### Constraints & Assumptions
- Interpret (X>60) as (X\ge61).
- Use the binomial mean and variance rather than fitting parameters from data.
- Report the standardization step and an approximate numerical probability.
### Clarifying Questions to Ask
- Is a continuity correction expected?
- Is an exact binomial sum required as a benchmark, or only the normal approximation?
- What level of numerical precision should be reported?
```hint Move the boundary by one half
The continuous normal event corresponding to (X\ge61) begins at (60.5).
```
### What a Strong Answer Covers
- The correct binomial mean (np) and standard deviation (sqrt{np(1-p)}).
- A (z)-score based on 60.5, not 60 or 61 without explanation.
- The upper-tail probability and the exact finite sum for comparison.
- A check of the usual normal-approximation conditions.
### Follow-up Questions
- How inaccurate is the answer if the continuity correction is omitted?
- What changes if the coin has head probability (0.1)?
- When would a saddlepoint or exact computation be preferable?
Overview: Estimate the probability of more than 60 heads in 100 fair flips with a continuity-corrected normal approximation. Compare the result with the exact binomial tail and diagnose approximation quality.
Approximate a Binomial Upper Tail with a Normal Distribution
Virtu
Aug 21, 2026
hardData ScientistOnsiteStatistics & Math
1
0
Let (X\sim\operatorname{Binomial}(100,0.5)). Estimate (P(X>60)) with a normal approximation, including a continuity correction. Also state the exact expression that your approximation is estimating and assess whether the approximation is reasonable.
Constraints & Assumptions
Interpret (X>60) as (X\ge61).
Use the binomial mean and variance rather than fitting parameters from data.
Report the standardization step and an approximate numerical probability.
Clarifying Questions to Ask Guidance
Is a continuity correction expected?
Is an exact binomial sum required as a benchmark, or only the normal approximation?
What level of numerical precision should be reported?
What a Strong Answer Covers Guidance
The correct binomial mean (np) and standard deviation (sqrt{np(1-p)}).
A (z)-score based on 60.5, not 60 or 61 without explanation.
The upper-tail probability and the exact finite sum for comparison.
A check of the usual normal-approximation conditions.
Follow-up Questions Guidance
How inaccurate is the answer if the continuity correction is omitted?
What changes if the coin has head probability (0.1)?
When would a saddlepoint or exact computation be preferable?