bernoulli

hi guys, i am struggling with this. say i am given an annual probabilty of default for a company going insolvent as 0.02. so 2%. say this client then takes out a 100k , 150 day loan on jan 1st 2018, what is predicted default amount? am i right in thinking you can model this as bernoulli ? i...

Hi All, Preparing for the Part-1 2015 Nov. Got a question on distributions from the below two questions given in the Miller's question at the end of Distributions (page 89, Q1 & Q2) My Confusion: This is solved by Bernoullis distribution. Why can't we use poisons distribution to solve these...