Statistics for Business

Basic Probability

Formula Sheet

number of outcomes in A n A
P( A)
number of outcomes in S nS
Probability of an Event

number of outcomes in A and B n A B

P( A B)
nS
Joint Probability
number of outcomes in S

number of outcomes in A and B n A B

P( A | B)
nB
Conditional Probability
number of outcomes in B

Complement Rule P( A) 1 P( A)

Addition Rule P( A B) P( A) P( B) P( A B)

Special Addition Rule P( A B) P( A) P( B)

Multiplication Rule P( A B) P( B) P( A | B) or P( A B) P( A) P( B | A)

Special Multiplication Rule P( A B) P( A) P( B)

Western Sydney University