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    of 1

    A Random Variable is a function that associates a

    real number with each element in the sample space.


    2 TYPES OF RANDOM VARIABLES
    DISCRETE RANDOM VARIABLE can only take
    a finite number of distinct values. Countable
    CONTINUOUS RANDOM VARIABLE can
    assume an infinite number of values in an interval
    between two specific values. Measurable
    PROBABILITY DISTRIBUTION List of values
    of random variable and their corresponding
    probability in an experiment
    Binomial Distribution, there are only two possible
    mutually exclusive outcomes – success or failure.
    n! x n−x
    P ( X=x ) = p ( 1−p )
    x ! ( n−x ) !

    Poisson Distribution - This is a probability


    distribution where n is large and p is small. The
    number of trials in Poisson distribution is infinite,
    and the probability of success has also an infinite
    chance.
    x −μ
    ( ) μ ∙e
    P X=x =
    x!
    Variance
    Measures the spread the data from the mean. It is
    the average squared distance from the mean.
    Standard Deviation
    The square root of the variance.
    Variance of a Discrete Random Variable
    n
    σ =∑ [ X i −E ( X i ) ] P ( X i )
    2 2

    i=1

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