The classical probability ratio. For a sample space S and event A:
P(A)=n(S)n(A)=Exhaustive number of cases in SNumber of cases favourable to A.
Axioms of probability. P(A) satisfies: (1) P(A)≥0. (2) If A,B are mutually exclusive, P(A∪B)=P(A)+P(B). (3) P(S)=1.
Basic theorems. The probability of the impossible event is zero: P(∅)=0. For any two events A,B, P(A∩Bˉ)=P(A)−P(A∩B). The Addition Theorem: P(A∪B)=P(A)+P(B)−P(A∩B).
Conditional probability. P(B/A)=P(A)P(A∩B), provided P(A)=0; similarly P(A/B)=P(B)P(A∩B), provided P(B)=0.
Multiplication Theorem. P(A∩B)=P(A/B)P(B)=P(B/A)P(A).
Independent events. A,B are independent if and only if P(A∩B)=P(A)⋅P(B).
Total Probability. If A1,A2,…,An are mutually exclusive and exhaustive and B is any event in S, then P(B) is the total probability of B: P(B)=∑i=1nP(Ai)⋅P(B/Ai). …