Does Farming Mob in a Group Affect Drop Rate

I want to farm some recipes from mobs (outside dungeons). Just want to know if the drop rate from the perspective of each individual is different if i farm them in groups of different sizes. I previously assumed that the drop rate is fixed for the whole group so if u have a larger group u need to share the same amount of drops with more people. But I recently heard that each individual in the group should have independent drop rate regardless of the group size. So farming in a larger group even if some team members are doing nothing is better.

Which one is true?
 
I believe larger groups are always better, because since some point at Legion(?) all players have personal loot from the mobs the group kills.

Mobs can only be tagged by a full group of 5 people or by two incomplete groups of 4 people, so no point in forming groups larger than that.
 

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