Chapter_5_Slides_Jaggia

Discrete Random Variable

A random variable that assumes either a finite number of values or an infinite sequence of values, which can be counted.

Binomial Random Variable

A discrete random variable that counts the number of successes in a fixed number of independent Bernoulli trials.

Poisson Random Variable

A discrete random variable that measures the number of events occurring in a fixed interval of time or space, where events occur with a known constant mean rate and independently of the time since the last event.

Hypergeometric Random Variable

A discrete random variable that represents the number of successes in a sequence of draws from a finite population without replacement.

Probability Distribution

A mathematical function that provides the probabilities of occurrence of different possible outcomes for a random variable.

Expected Value (E)

The average or mean value of a random variable, calculated as the weighted sum of all possible values, where probabilities serve as weights.

Variance (Var)

A measure of the dispersion of a set of values, calculated as the average of the squared deviations from the mean.

Standard Deviation (SD)

The square root of the variance, providing a measure of the average distance of each data point from the mean.

Probability Mass Function (PMF)

A function that gives the probability that a discrete random variable is exactly equal to some value.

Cumulative Probability Function (CDF)

A function that gives the probability that a random variable is less than or equal to a particular value.

Classical Method

A method for assigning probabilities based on logical reasoning or theoretical outcomes.

Subjective Method

A method for assigning probabilities based on personal judgment or experience.

Relative Frequency Method

A method for assigning probabilities based on the frequency of events occurring based on historical data.

Discrete Uniform Probability Distribution

A type of probability distribution where all outcomes are equally likely.

Bernoulli Process

A random experiment where there are only two possible outcomes, typically termed success and failure.

Excel BINOM.DIST Function

An Excel function used to calculate the binomial probability distribution.