Probability and Statistics Lecture Notes

A set of vocabulary flashcards based on key concepts from the lecture notes on probability and statistics.

Tree Diagram

A display of conditional events or probabilities, resembling branches in a tree, useful for calculating probabilities.

General Addition Rule

To find the probability of A or B, add the probabilities of two events and subtract the probability of their intersection.

Independence

Two events are independent if the outcome of one event does not influence the probability of the other event.

Disjoint Events

Two events are disjoint if they cannot occur at the same time.

Random Variable

A variable that assumes different numeric values as a result of a random event.

Discrete Random Variable

A random variable that can only take a countable number of values.

Continuous Random Variable

A random variable that can take on an infinite number of values within a given interval.

Probability Distribution

A display of the entire set of values of a random variable with their associated probabilities.

Actuaries

Specialists who estimate the likelihood and costs of rare events to help set insurance prices.

False Positive Rate

The probability that a test incorrectly indicates the presence of a condition, even when it is not present.

False Negative Rate

The probability that a test incorrectly indicates the absence of a condition, even when it is present.