Sunday, February 26, 2012

Conditional Probability

Formula:
P(A|B) = \frac{P(A \cap B)}{P(B)}.

Multiplication Rule: When two events, A and B, are dependent, the probability of both occurring is:
P(A and B)= P(A)xP(B|A)

Example- A math teacher gave her class two tests. 25% of the class passed both tests and 42% of the class passed the first test. What percent of those who passed the first test also passed the second test?


    Start with Multiplication Rule 2.
    Divide both sides of equation by P(A).
    Cancel P(A)s on right-hand side of equation.
    Commute the equation.
    We have derived the formula for conditional probability.

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