Basic Rules of Probability

RULE 1 - All Probability is Between 0 and 1 (or 100%)

There are two possibilities:

a. When P(A) = 0, the event will not happen (an impossible event).

b. When P(A) = 1, the event will always happen (a certainty). A consequence of this
rule is if A is the event something in the sample space will happen, then P(A) = 1.

RULE 2 - The Complement Rule

The complement of event A is the event (A does not occur). All simple events in the
sample space must either be part of event A or part of the complement of event A.

P(A) + P(not A) = 1

RULE 3 - The Either/Or Rule

The union of events A and B are events when A or B or both occur.

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

RULE 4 - The Both/And Rule

The intersection of events A and B are events when both A and B occur.

P(A and B) = P(A) P(B given A)

Rules Only True for Special Cases

RULE 5 - Mutually Exclusive Events

A and B are mutually exclusive if and only if the events cannot occur at the same time. If
A and B are mutually exclusive events, P(A and B) = 0

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

RULE 6 - Independent Events

Two events A and B are independent, if knowing that one has occured does not change
the probability that the other will occur. When events are independent:
P(B) = P(B given A) and P(A) = P(A given B)

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

*Notice this is just a special case of Rule 4.