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

Mmi operational activities, In an executive meeting of March 2010, CEO Mary...

In an executive meeting of March 2010, CEO Mary Shields praised the team for their 'excellent performance.' In fact, for fiscal years 2007 to 2009, MMI outpaced its closest competi

Calculate percentage of sales methods, Q. Calculate Percentage of Sales Met...

Q. Calculate Percentage of Sales Methods? The sum to be appropriated to advertising is arrived at by multiplying the worth of past year's sales or projected sales for the budge

Marketing, How should Shoppers’ Stop develop its demand forecasts?

How should Shoppers’ Stop develop its demand forecasts?

International bonds and markets, International Bonds and Markets (a) ...

International Bonds and Markets (a) Calculate both Macaulay and modified durations of the 8-year, 8.5% coupon bond given a flat yield curve a 10%.

Purposes of illustration of print-ad-copy, Q. Purposes of Illustration of p...

Q. Purposes of Illustration of print-ad-copy? Illustration helps in attracting attention as well as arousing desire/ interest in advertisement. It assists the buyer in

Explain the awareness to creative advertising, Question: You have just ...

Question: You have just won a National Best Creative award from Association Advertising Agencies and is being interviewed by a journalist. (a) He asks, according to you a

Product and services, Product & services Product is a complicated conc...

Product & services Product is a complicated concept that must be carefully defined. Since the first of the four marketing mix variables, it is frequently where strategic plann

How to use switch-case-end, MATLAB program to call all programs EX: 1: Prob...

MATLAB program to call all programs EX: 1: Problem P1 2: Problem P2 …………………………………… 6: Problem 6x how to write?

Mutually beneficial relationship of marketing, How is marketing mutually cr...

How is marketing mutually created beneficial relationship? Mutually beneficial relationship of marketing: The customer is the focus onto whole marketing activities. But th

Market analyse to promote the product, This assignment requires you to choo...

This assignment requires you to choose: a product and find a market to promote your product, or a market and analyse its needs and find a product to satisfy the

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