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Business Statistics For Dummies, 2nd Edition
book

Business Statistics For Dummies, 2nd Edition

by Alan Anderson
January 2024
Beginner content levelBeginner
400 pages
9h 3m
English
For Dummies
Content preview from Business Statistics For Dummies, 2nd Edition

Chapter 6

Probability Theory: Measuring the Likelihood of Events

IN THIS CHAPTER

Bullet Understanding sets and how they’re related to each other

Bullet Determining the possible outcomes of an experiment

Bullet Applying types of probabilities

Bullet Using rules of probability

Probability theory is a branch of mathematics that focuses on the analysis of random events and is the foundation of all statistical analysis. You can use probability theory to model a large number of situations that arise in practice. For example, you can use probability theory to estimate how likely it is that a new product will succeed in the marketplace, identify appropriate prices for an insurance company to charge its customers, and more.

This chapter reviews the mathematical foundations of probability theory, such as sets and events, defines types of probabilities, and introduces the rules of probability.

Working with Sets

Probability theory is based on the notion of a set — a collection of objects, such as numbers, letters, colors, names, and so on, individually called elements. You use mathematical operations, such as membership, ...

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Publisher Resources

ISBN: 9781394219926Purchase Link