Upcoming-ExamsFinance-Account-AssistantFAA-STATISTICSNotesTopic (vi) — Theory of Probability

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Statistics — syllabus topic (vi) of 10 · 🎯 PYQs from this topic: 2024 Q76 - 2022 Q34

Part of the full combined notes. · 2 PYQ callouts inside.


🔷 TOPIC (vi) — THEORY OF PROBABILITY

Syllabus topic (vi) of 10 · runs until Topic (vii)

Covers: basic terms · types of events · the three definitions of probability · addition theorem · multiplication theorem · conditional probability · odds · Bayes theorem 🎯 Asked in the papers: 2024 · Q76which probability statements are correct · 2022 · Q34P(Maths or Physics)

➕ Added — not in the original notes.


1. Basic Terms

TermMeaning
Random experimentAn act whose outcome cannot be predicted with certainty (tossing a coin, rolling a die)
TrialOne performance of the experiment
OutcomeA single possible result
Sample space (S)The set of ALL possible outcomes. Die: S={1,2,3,4,5,6}S = \{1,2,3,4,5,6\}, so n(S)=6n(S)=6
Event (A)Any subset of the sample space
Favourable outcomesOutcomes that make the event happen

2. Types of Events

🎯 THIS CAME IN THE EXAM — 2024 · Q76

"Which statements about probability are correct?"Answer: A (P and S) ⭐ This question is decided entirely by the definitions in the table below. The two traps it used:

  • "Mutually exclusive events always sum to 1" → ❌ FALSE — only if they are ALSO EXHAUSTIVE
  • "Probability can never be zero" → ❌ FALSE — an impossible event is exactly 0 ⚠️ Mutually exclusive · exhaustive · independent are three different things. The paper mixes them on purpose.
TypeMeaningExample
Simple / ElementaryA single outcomeGetting a 4 on a die
CompoundMore than one outcomeGetting an even number
Sure / CertainAlways happens → ⭐ P = 1A number less than 7 on a die
ImpossibleCan never happen → ⭐ P = 0Getting 8 on a die
Mutually exclusiveCannot happen togetherP(AB)=0P(A \cap B) = 0Head and Tail on one toss
ExhaustiveTogether cover the whole sample space → total probability = 1{even, odd} on a die
IndependentOne does not affect the otherTwo separate coin tosses
DependentOne does affect the otherDrawing 2 cards without replacement
Complementary (Aˉ\bar{A})"A does not happen" → ⭐ P(A)+P(Aˉ)=1P(A) + P(\bar{A}) = 1Not getting a six
Equally likelyAll outcomes have the same chanceA fair die

3. Definitions of Probability

(1) Classical / Mathematical (a priori): P(A)=Number of favourable outcomesTotal number of possible outcomes=mnP(A) = \frac{\text{Number of favourable outcomes}}{\text{Total number of possible outcomes}} = \frac{m}{n} Requires outcomes to be equally likely, mutually exclusive and exhaustive.

(2) Empirical / Statistical (a posteriori): based on actual repeated trials — P(A)=limnNumber of times A occurrednP(A) = \lim_{n \to \infty} \frac{\text{Number of times A occurred}}{n}

(3) Axiomatic (Kolmogorov):0P(A)10 \le P(A) \le 1 · P(S)=1P(S) = 1 · for mutually exclusive events P(AB)=P(A)+P(B)P(A \cup B) = P(A) + P(B)

THE RANGE — the most useful single fact

0P(A)1\mathbf{0 \le P(A) \le 1} Impossible event = 0 · Certain event = 1 · Probability can NEVER be negative and NEVER exceed 1.In the exam, any option greater than 1 (or negative) is instantly wrong.

4. Addition Theorem — "OR" / union

🎯 THIS CAME IN THE EXAM — 2022 · Q34

"80 students: 30 opted Maths, 20 opted Physics, 10 opted both. Find P(Maths or Physics)." a) 1/2 ✅ · b) 1½ · c) 2½ · d) 3½ ⭐ Working: P(M) = 30/80, P(P) = 20/80, P(M∩P) = 10/80 P(M ∪ P) = 30/80 + 20/80 − 10/80 = 40/80 = 1/2 ⚠️ ⭐ Look at options b, c and d — every one of them is GREATER THAN 1, so none can be a probability. The range rule alone eliminates three of the four options before you calculate anything.

General (works always): P(AB)=P(A)+P(B)P(AB)P(A \cup B) = P(A) + P(B) - P(A \cap B)

If A and B are mutually exclusive, P(AB)=0P(A \cap B) = 0, so: P(AB)=P(A)+P(B)P(A \cup B) = P(A) + P(B)

Three events: P(ABC)=P(A)+P(B)+P(C)P(AB)P(BC)P(AC)+P(ABC)P(A \cup B \cup C) = P(A)+P(B)+P(C) - P(A \cap B) - P(B \cap C) - P(A \cap C) + P(A \cap B \cap C)

5. Multiplication Theorem — "AND" / intersection

If A and B are INDEPENDENT: P(AB)=P(A)×P(B)P(A \cap B) = P(A) \times P(B)

If DEPENDENT: P(AB)=P(A)×P(BA)P(A \cap B) = P(A) \times P(B \mid A)

6. Conditional Probability

P(AB)=P(AB)P(B),P(B)0P(A \mid B) = \frac{P(A \cap B)}{P(B)}, \qquad P(B) \ne 0 ⭐ If A and B are independent, P(AB)=P(A)P(A \mid B) = P(A) — knowing B tells you nothing about A.

7. Odds

  • Odds in favour of A = m:(nm)m : (n-m) = favourable : unfavourable
  • Odds against A = (nm):m(n-m) : m
  • If odds in favour are a:ba : b then P(A)=aa+bP(A) = \dfrac{a}{a+b}

8. Bayes Theorem

P(AiB)=P(Ai)P(BAi)P(Aj)P(BAj)P(A_i \mid B) = \frac{P(A_i) \cdot P(B \mid A_i)}{\sum P(A_j) \cdot P(B \mid A_j)} Used to revise a prior probability after new evidence arrives.


9. Worked Examples

Q1. (the 2022 · Q34 type) In a class, P(passing Maths) = 2/5, P(passing Physics) = 3/10, P(passing both) = 1/5. Find P(passing Maths or Physics).

Sol Use the general addition theorem — P(MP)=P(M)+P(P)P(MP)=25+31015P(M \cup P) = P(M) + P(P) - P(M \cap P) = \frac{2}{5} + \frac{3}{10} - \frac{1}{5} =410+310210=510=12= \frac{4}{10} + \frac{3}{10} - \frac{2}{10} = \frac{5}{10} = \mathbf{\frac{1}{2}}

Q2. A die is thrown once. Find the probability of getting an even number or a number greater than 4.

Sol A={2,4,6}P(A)=36A = \{2,4,6\} \Rightarrow P(A) = \frac{3}{6} ; B={5,6}P(B)=26B = \{5,6\} \Rightarrow P(B) = \frac{2}{6} ; AB={6}P(AB)=16A \cap B = \{6\} \Rightarrow P(A \cap B) = \frac{1}{6} P(AB)=36+2616=46=23P(A \cup B) = \frac{3}{6} + \frac{2}{6} - \frac{1}{6} = \frac{4}{6} = \mathbf{\frac{2}{3}}

Q3. Two coins are tossed. Find P(at least one head).

Sol S={HH,HT,TH,TT}S = \{HH, HT, TH, TT\}, n(S)=4n(S) = 4. Easier by complement — P(at least one head)=1P(no head)=114=34P(\text{at least one head}) = 1 - P(\text{no head}) = 1 - \frac{1}{4} = \mathbf{\frac{3}{4}}"At least one" is almost always fastest via the complement.

Q4. A bag has 5 red and 3 black balls. Two are drawn with replacement. P(both red)?

Sol With replacement → independentP=58×58=2564P = \frac{5}{8} \times \frac{5}{8} = \mathbf{\frac{25}{64}} Without replacement (dependent): 58×47=2056=514\frac{5}{8} \times \frac{4}{7} = \frac{20}{56} = \frac{5}{14}


🪤 EXAM TRAPS — these are what the statement-type questions test

StatementVerdict
"Probability can never be zero"FALSE — an impossible event is exactly 0
"Probability of a certain event is 1"✅ TRUE
"Mutually exclusive events always sum to 1"FALSE — ⭐ only if they are ALSO EXHAUSTIVE
"Mutually exclusive means independent"FALSE — opposites in effect: if A happens B cannot, so they are strongly dependent
"P(A) + P(not A) = 1"✅ TRUE
"Probability can exceed 1 if there are many outcomes"FALSE — never
"For independent events P(A and B) = P(A) × P(B)"✅ TRUE
"P(A or B) = P(A) + P(B) always"FALSE — only when mutually exclusive; otherwise subtract P(AB)P(A \cap B)
🎯 IF YOU REMEMBER NOTHING ELSE FROM THIS TOPIC

0P10 \le P \le 1any option above 1 is eliminable free (this killed 3 of 4 options in 2022 · Q34)OR → add, then subtract the overlap · AND → multiplyMutually exclusive ≠ exhaustive ≠ independent — the three words the paper mixes up on purpose

END OF TOPIC (vi) — Topic (vii) begins below.



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