Definitions [10]
The arithmetic mean (or, simply, mean) of a set of numbers is obtained by dividing the sum of the numbers in the set by the number of numbers.
\[\mathbf{Mean}=\frac{\left(x_1+x_2+x_3+\ldots+x_n\right)}{n}=\frac{\Sigma x_i}{n}\]
Median is the value of the middle-most observation(s). The median is a measure of central tendency which gives the value of the middle-most observation in the data.
The mode is the value of the observation that occurs most frequently; i.e., the observation with the maximum frequency is called the mode.
The probability distribution of the number of successes in an experiment consisting of n-Bernoulli trials obtained by the binomial expansion of (q + p )ⁿ is called the binomial distribution.
where p = probability of success and
q = probability of failure
\[P\left(X=r\right)=^{n}C_{r}p^{r}q^{n-r}\] is called probability function.
Probability measures the degree of certainty of the occurrence of an event.
Two events are said to be independent if the occurrence of one does not depend on the other.
If A and B are independent events, then
- P(A/B) = P(A/B') = P(A)
- P(B/A) = P(B/A') = P(B)
- If A and B are independent events, then
a. P(A∩ B) = P(A). P (B)
b. A and B' are also independent
c. A' and B' are also independent
The conditional probability of both events A and B over the sample space S is
\[\mathrm{P(A/B)=\frac{P(A\cap B)}{P(B)}}\], where \[B\neq\phi\]
\[\mathrm{P(B/A)=\frac{P(A\cap B)}{P(A)}}\], where \[A\neq\phi\]
If a random variable X takes values x₁, x₂, …, xₙ with respective probabilities p₁, p₂, …, pₙ, then it is called the probability distribution of X.
A discrete random variable X is said to have the Poisson distribution with parameter m > 0, if its p.m. is given by
\[P(X=x)=\frac{e^{-m}m^x}{x!}\] = 0, 1, 2, ....
A sequence of dichotomous experiments is called a sequence of Bernoulli trials if it satisfies the following conditions:
- The trials are independent.
- The probability of success remains the same in all trials.
Formulae [4]
Direct Method:
\[\bar{x}=\frac{\sum f_ix_i}{\sum f_i}\]
where xi = class mark, fi = frequency
Short-cut (Assumed Mean) Method:
\[\bar{x} = A+\frac{\sum f_id_i}{\sum f_i}\]
where di = xi - A
A is the assumed mean
Step-deviation Method:
\[\bar{x}=a+h\frac{\sum f_iu_i}{\sum f_i}\]
where \[u_i=\frac{x_i-a}{h}\]
h is the class width / common factor
If the number of data points (n) is odd, the median is,
Median = `((n+1)/2)^(th)` term
If n is even, the median is the average of the values at positions
Median = Average of `(n/2)^(th)` and `(n/2+1)^(th)` values
G.M. between a and b
G2 = ab
G =\[\sqrt{ab}\]
G is the geometric mean between a and b.
Theorems and Laws [2]
If A and B are two events over the sample space S, then
- P(A ∩ B) = P(B) · P (A/B)
- P(A ∩ B) = P(A) · P (B/A)
If B1, B2,..., Bn are mutually exclusive and exhaustive events and if A is an event consequent to these Bi's, then for each i = 1, 2, 3, ..., n,
\[\mathrm{P(B_i/A)=\frac{P(B_i)P(A/B_i)}{\sum_{i=1}^nP(A\cap B_i)}}\]
Key Points
| No. | Term | Definition |
|---|---|---|
| 1 | Probability | A measure of the chance of occurrence of an event. |
| 2 | Random Experiment | An experiment in which all possible outcomes are known, but the exact outcome cannot be predicted with certainty. |
| 3 | Outcome | The result of a random experiment. |
| 4 | Sample Space (S) | The set of all possible outcomes of a random experiment. |
| 5 | Sample Point | Each element of the sample space. |
| 6 | Number of Sample Points | The number of elements in the sample space is denoted by n(S). |
| 7 | Equally Likely Outcomes | Outcomes which have the same chance of occurring. |
| No. | Term | Definition |
|---|---|---|
| 1 | Probability | A measure of the chance of occurrence of an event. |
| 2 | Random Experiment | An experiment in which all possible outcomes are known, but the exact outcome cannot be predicted with certainty. |
| 3 | Outcome | The result of a random experiment. |
| 4 | Sample Space (S) | The set of all possible outcomes of a random experiment. |
| 5 | Sample Point | Each element of the sample space. |
| 6 | Number of Sample Points | The number of elements in the sample space is denoted by n(S). |
| 7 | Equally Likely Outcomes | Outcomes which have the same chance of occurring. |
Playing Cards – Key Facts
-
Total cards = 52
-
Red cards = 26 (Hearts, Diamonds)
-
Black cards = 26 (Clubs, Spades)
-
Each suit has 13 cards
-
Face cards = King, Queen, Jack (Total = 12)
| Type of Event | Meaning | Probability |
|---|---|---|
| Sure (Certain) Event | An event that is certain to occur | P(E) = 1 |
| Impossible Event | An event that cannot occur | P(E) = 0 |
| Simple (Elementary) Event | An event having only one outcome | P(E) = 1 / n(S) |
| Complementary Event (E̅) | An event that occurs when E does not occur | P(not E) = 1 − P(E) |
| Mutually Exclusive Events | Two events that cannot occur together | P(A ∩ B) = 0 |
| Exhaustive Events | Events which together cover all outcomes of S | P(A₁) + P(A₂) + … = 1 |
| Equally Likely Events | All outcomes have the same chance of occurring | P(E) = n(E) / n(S) |
| General Rule | Probability of any event | 0 ≤ P(E) ≤ 1 |
Properties:
- Complement Rule
P(A′) = 1 − P(A)
⇒ P(A) + P(A′) = 1 - Range of Probability
0 ≤ P(A) ≤ 1 - Impossible Event
P(ϕ) = 0 - Certain Event
P(S) = 1 - Subset Rule
If A ⊆ B, then P(A) ≤ P(B) - Difference of Events
P(A ∩ B′) = P(A) − P(A ∩ B)
P(A′ ∩ B) = P(B) − P(A ∩ B) - Union of Two Events
P(A ∪ B) = P(A) + P(B) − P(A ∩ B) - Union of Three Events
P(A ∪ B ∪ C) = P(A) + P(B) + P(C)
− P(A ∩ B) − P(B ∩ C) − P(C ∩ A) + P(A ∩ B ∩ C) - Mutually Exclusive Events (2 events)
If A ∩ B = 0, then
P(A ∪ B) = P(A) + P(B) - Mutually Exclusive Events (multiple)
P(A₁ ∪ A₂ ∪ ... ∪ Aₙ) = P(A₁) + P(A₂) + ... + P(Aₙ) - Upper Bound of Union
P(A ∪ B) ≤ P(A) + P(B)
Concepts [24]
- Measures of Discretion
- Arithmetic Mean
- Mean of Grouped Data
- Basic Concept of Median
- Basic Concept of Mode
- Standard Deviation
- Variance
- Mean Deviation
- Geometric Mean
- Harmonic Mean (H.M.)
- Coefficient of Variation
- Addition Theorem of Probability
- Multiplication Theorem on Probability
- Bayes’ Theorem
- Probability using Binomial Distribution
- Concept of Probability
- Elementary Types of Events and Properties of Probability
- Odds in Favour and Against
- Boole's Inequality
- Demorgan's Law
- Independent Events
- Conditional Probability
- Probability Distribution of Discrete Random Variables
- Poisson Distribution
