Conditional probability, math, Marketing Management

Assignment Help:

What is Conditional Probability?

Two events A and B are said to be dependent when B can occur only when A is known to have occurred (or vice versa). The probability attached to such an event is called the conditional probability and is denoted byP(A/B) or, in other words probability of A given that B has occurred.

If two events A and B are dependent, then the conditional probability of B given A is:

P(B/A) = P(AB)/P(A)

Proof: suppose a1 is the number of cases for the simultaneous happening of A and B out of a1 + a2 cases in which A can happen with or without happening of B.

∴ P(B/A) = a1/(a1 + a2) = (a1/n)/(a1 + a2)/n = P(AB)/P(A)

Similarly it can be shown that

P(A/B) = P[(AB)/P(B)]

The general rule of multiplication in its modified form in terms of conditional probability becomes:

P(A and B) = P(B) × P(A/B)

Or, P(A and B) = P(A) × P(B/A)

For three events A, B and C we have

P(ABC) = P(A) × P(B/A) × P(C/AB)


i.e. the probability of occurrence of A, B and C is equal to the probability of A, times of the probability of B given that A has occurred, times the probability of C given that both A and B have occurred.

Illustration: a bag contains 5 white and 3 black balls. Two balls are drawn at random one after the other without replacement. Find the probability that both balls drawn are black.

Solution: probability of drawing a black ball in the first attempt is

P(A) = 3/(5 + 3) = 3/8

Probability of drawing the second black ball given that the first ball drawn is black

P(B/A) = 2/(5 + 2) = 2/7

∴ The probability that both balls drawn are black is given by

P(AB) = P(A) × P(B/A) = 3/8 × 2/7 = 3/28  

Math Assignment Help


Related Discussions:- Conditional probability, math

Meaning of the promotion mix, Meaning of the promotion mix: Promotion m...

Meaning of the promotion mix: Promotion mix refers to the combination of the various promotional elements viz, advertising, personal selling, publicity and sales promotional te

Consumer behavior, ASSIGNMENT’S OBJECTIVE • To give the student the chance ...

ASSIGNMENT’S OBJECTIVE • To give the student the chance of analyzing a company through the help of given case study to narrow the scope for them. This assignment gives the opportun

Matlab , In control engineering,a discrete-time system has the following c...

In control engineering,a discrete-time system has the following closed-loop transfer function: G(z)=K(3zcube+2) divided by z

What is multi channel marketing?, After their first arrival, the telephone,...

After their first arrival, the telephone, email, fax, mobile phone and the internet were rapidly accepted in business contacts and for doing business transactions, creating fresh c

How is forecast sale in marketing research, How is forecast sale in marketi...

How is forecast sale in marketing research? Forecast Sale in Marketing Research: Marketing research assists in marketing planning and sales forecasting. The researchers c

What is economic and competitive environment, What is Economic and Competit...

What is Economic and Competitive Environment? Economic and Competitive Environment: Environment Factors of Economic and Competitive, including the effects of common econ

Show the advertising objectives, Q. Show the Advertising Objectives? A...

Q. Show the Advertising Objectives? Advertising Objectives: The main objective of every advertising campaign is to get favourable response from customer however the specific

Mat 104 finance project, Five years ago, you bought a house for $151,000, w...

Five years ago, you bought a house for $151,000, with a down payment of $30,000, which meant you took out a loan for $121,000. Your interest rate 5.75% fixed. You would like to pay

Assingment, Marketing strategy development

Marketing strategy development

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd