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

Case, Should video game companies continue to alter their products to inclu...

Should video game companies continue to alter their products to include other functions, such as e-mail

Describe the term positioning of a firm or service, Courts opened its first...

Courts opened its first retail outlet in Mauritius in 1985, on the outskirts of Port Louis. It subsequently opened outlets in all the towns and big villages. However inspite of its

Why is sales promotion growing, Question 1: (a) What is a communication...

Question 1: (a) What is a communication brief (or a creative brief), and how is it typically outlined? (b) Why is an IMC campaign difficult to evaluate? (c) Explain how

What is market segmentation, Question: (a) What is market segmentation?...

Question: (a) What is market segmentation? (b) "It is often said that each consumer is unique, with unique needs." How useful is then, market segmentation as a marketing t

Product life cycle, considering the concept of product life cycle, where wo...

considering the concept of product life cycle, where would you put video games in their life cycle

Create a demand schedule and a supply schedule, Create a demand schedule an...

Create a demand schedule and a supply schedule for your product. Using these schedules, draw a demand curve and a supply curve using PowerPoint or Excel. Use these to deter

What are very carbadictory strategies of pricing new product, What are very...

What are very carbadictory strategies of pricing new products? Pricing new products should choose in between two very carbadictory strategies as given below here: 1. A high

Explain existence of marketing as indispensable activity, Explain about exi...

Explain about existence of marketing as an indispensable activity. Existence of Marketing: Marketing is as old as mankind that a young child trying to persuade his mother

Describe the kuleshov effect, Question 1 Write short notes on any 5 of ...

Question 1 Write short notes on any 5 of the following concepts: (i) Close Up (ii) Wide Shot (iii) Pan (iv) Tilt (v) Zoom (vi) Subjective Camera movement (vii)

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