Lecture 5

Question 1

probability is a number between

Answer 1

0 and 1

Question 2

mutually exclusive

Answer 2

if only one can occur at one time

Question 3

collective exhaustively

Answer 3

if it includes every possible outcome of an experiment, sum of probabilities = 1

Question 4

classical probability

Answer 4

assumption that the outcomes of an experiment are equally likely

Question 5

Empirical Probability

Answer 5

probability of an event happening is determined by past

Question 6

Subjective Probability

Answer 6

based on judgement or intuition

Question 7

complement rule

Answer 7

the probability of an event occurring is the same as one minus the event not occurring

Question 8

Complement rule formula

Answer 8

P(event occurring) = 1 - P(event not occurring)

or

P(A) = 1-P(A’)

Question 9

Addition Rule for mutually exclusive events

Answer 9

P(A or B) = P(A) + P(B)

Question 10

addition rule for all events

Answer 10

P(A or B) = P(A) + P(B) - P(A and B)

Question 11

independent events

Answer 11

two events are independent if the occurrence of one does not affect the probability of the other

Question 12

independent events formula

Answer 12

P(A and B) = P(A) x P(B)

Question 13

Bayes Rule: events that are not independent

Answer 13

P(B|A) = the probability of B occurring given that A has already occurred

Question 14

General rule of multiplication formula

Answer 14

P(B|A) = P(A and B)/ P(B)