LM 02 Flashcards
Definition of the probability of equally likely outcomes
Assume that there are N outcomes, all of which are equally likely to occur, then, the probability of each outcome is 1/N, and the probability of an event containing exactly n outcomes is n/N. We write this as P(A)
How do probabilities sum?
I’ll probabilities must come to one or 100%
Probability definition
The probability of an outcome is the proportion of times the outcome would occur if we observe the random process an infinite number of times
Three steps to find the probability
1) define an event
2) find out the outcomes in the event
3) sum up their probabilities
Mutually exclusive or disjoint
Two events are considered mutually exclusive or disjoint if they have no outcomes in common
Another way of writting P(A or B)
P(A u B)
Another way of writing P(A and B)
P (A n B)
Addition rule ( An and B are disjoint events)
P(A or B) = P(A) + P(B)
General addition rule ( A and B are disjoint or not)
P (A or B) = P(A) + P(B) - P(A and B)
Outcome
Random result from experiment
Event
Set of outcomes, has probability assigned to it
Sample space
All possible outcomes
Complement
Probability that the event does not occur
Complement rule
The compliment of A, denoted by A^c, is an event that contains all outcomes in the sample space that are not in A.
P(A^c) = 1-P(A)
Conditional Probability
Conditional upon the fact that we know event be, what is the probability of event a. This is noted as P(A|B).
P(A|B) = P(A n B)/P(B)
Or
P(A|B) = P(A n B)/ (P(A n B)+P(A^c n B))