Probability theory

Prerequisites Matt glossary

Experiment. Something that happens with an outcome. For example. An experiment is when we flip a coin once. An outcome then is either Heads(H) or Tails(T). Another experiment would be to flip the coin twice. An outcome then is a sequence of Heads and Tails. The result of one coin flip is not an outcome in such experiment. It is just a stage or intermediate result.

Sample set. Set of all possible outcomes. The experiment with one flip of a coin has a set {H, T}. Two flips is {HH, TT, HT, TH}. It must be: mutually exclusive, collectively exhaustive.

Event. A subset of the sample set.

Cardinality of Set. Size of Set.

\(\binom{n}{k}\) Over \(n\) choose \(k\).

Venn diagram.

Intersection of Sets Intersection of Sets

Inclusion-Exclusion principle \[|A \cup B| = |A| + |B| - |A \cap B|,\text{ where |A| number of elements in A}\]

Intersection of elements is counted twice. Thus we need to extract it.

Product of sets. Set of ordered pairs where first item belongs to the first set and second item to the second set.

Product Rule. If there are n ways to perform action 1 and then by m ways to perform action 2, then there are \(n \cdot m\) ways to perform action 1 followed by action 2. You have n possibilities to pick the first item and m possibilities for the second.

Permutations. It is a set of elements in a particular order, e.g a list. For example, {a, b, c} has 6 permutations: abc, acb, bac, bca, cab, cba. Using Product Rule we can say that there are \(k!\) permutations of any set with \(k\) elements. Cause we have \(k\) possibilities to pick the first, \(k-1\) for the second and so on. In general for a set with \(n\) elements the number of permutations of \(k\) size is \[ _{n}P_{k} = n(n-1)…(n-k+1)=\frac{n!}{(n-k)!} \]

Combinations. Set of elements where order does not matter, e.g. sets. abc = acb = cba. When we have \(k\) elements, we can draw \(k!\) permutations from them. But as a combination it represents a single combination for \(k!\) of permutations. So in order to get the number of combinations we can divide the number of permutations by \(k!\). \[ _{n}C_{k} = \frac{n!}{k!(n-k)!} \]

Conditional probability. Probability of \(A\) given \(B\) occurred.

\[ P(A \cap B) = P(B)P(A|B) \implies P(A|B) = \frac{P(A \cap B)}{P{B}}\]