EXPERIMENT - any procedure that has well-defined set of possible outcomes

OUTCOME - possible result of an experiment

SAMPLE SPACE - the set of all outcomes of a probability experiment (S)
Ex: S = {HH, HT, TH, TT} , S = {0, 1, 2, 3, 4}
SAMPLE POINTS
Ex: {(HH), (HT), (TH), (TT)} , {(1), (2), (3), (4)}
EVENT - consists of one or more outcomes of the sample space (E)
- is a subset of sample space
- a collection of some of the possible outcomes of the given random variable
Ex:
A. Getting exactly 2 heads
B. Getting exactly 1 head
C. Getting at least 2 heads
D. Getting no head

RANDOM EXPERIMENT - any process used to draw outcomes with the element of randomness
RANDOM VARIABLE - is a function that assigns numerical values to the possible outcomes that will
result from a random experiment (X or Y) (x or y - VALUE of the random variable)
2 TYPES OF RANDOM VARIABLES
DISCRETE RANDOM VARIABLE - takes on a set of distinct possible values (countable)
CONTINUOUS RANDOM VARIABLE - measurable or not countable
52 - Deck of Cards
2 Colors - Red & Black 26 each
4 Suits - Cloves, Spades, Hearts, Diamonds
1 to 10 - number cards
Ace, Jack, Queen, King - 4 cards each
INDEPENDENT EVENTS - and, both (with replacement)
P(A and B) = P(A) x P(B)
DEPENDENT EVENTS - and, both (without replacement)
P(A and B) = P(A) x P(B)
MUTUALLY EXCLUSIVE EVENTS - or (cannot occur at the same time) (no outcomes in common)
P(A) + P(B) = P(A or B)
MUTUALLY NON EXCLUSIVE EVENTS - or (have at least one common outcome)
P(A or B) = P(A) + P(B) - [(P(A) x P(B))]
APPLICATIONS OF FACTORIALS - in probability theory, factorials are extensively used in the
evaluation of permutations and combinations

PERMUTATION - arrangement with specific order

nPr or n!/(n-r)!
COMBINATION - arrangement regardless of the order
nCr or n!/(n-r)!r!
n - number of trials
r - no. of successful trials

BINOMIAL FORMULA - P = nCr x p^r x q^n-r

p - probability of success
q - probability of failure
BINOMIAL EXPERIMENT
- is a statistical experiment
- each trial has only 2 possible outcomes S/F
- the trials are independent

DISCRETE PROBABILITY DISTRIBUTION - P[X=x] or P(x)

- how probabilities and values are written down
- also referred to as Probability Mass Function
- can be represented through as tabular or graphical form
- listing of all possible outcomes of a discrete random variable along with their respective probabilities

HISTOGRAM
- graphical representation that uses rectangles to represent the probabilities of the values in
successive and equal numerical interval
HORIZONTAL AXIS - probabilities
VERTICAL AXIS - values

PROBABILITY
- it measures the likelihood of an event occurring
- its values range from 0 to 1, inclusive
0 - impossibility of the event’s occurrence
1 - its certainty
- The probability of any event must be 0≤P(E)≤1
- it can be expressed as a fraction, decimal or percentage
COMPUTING THE MEAN OF A DISCRETE RANDOM VARIABLE
Formula for EXPECTED VALUE

E [x]= Σx P(x)
.
x | P(x) | (x)(P(x)

MEAN OF A DISCRETE RANDOM VARIABLE

- is the average of all possible values of X when random variable is repeated in a number of times
- is a measure of accuracy
- it is obtained by adding all the possible values of the random variable multiplied by its corresponding
probability
- also called as expected values