INTRODUCTION

Decision-making is an important aspect in business, education, insurance, and other

real-life situations. Many decisions are made by assigning probabilities to all possible
outcomes pertaining to the situation and then evaluating the results. For instance, an
insurance company might be able to assign probabilities to the number of vehicles a family
owns. This information will help the company in making decisions regarding future financial
situations. This situation requires the use of random variables and probability distribution.

This chapter will explain the concept of random variables and probability
distribution. We will learn how to construct the probability mass function of a discrete
probability distribution and describe the properties and characteristics by computing its
mean and variance.

Lessons and Coverage

The lessons that we will tackle are the following:

Chapter 1 – Random Variables and Probability Distribution

Chapter 2 – Normal Distribution

Chapter 3 – Sampling and Sampling Distribution

Chapter 4 – Estimation of Parameters

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 Module Map

Here is a simple map of the above lessons you will cover.

RANDOM VARIABLES
AND PROBABILITY
DISTRIBUTION

NORMAL
DISTRIBUTION

SAMPLING AND
SAMPLING
DISTRIBUTION

ESTIMATION OF
PARAMETERS

Guidelines

Hello, dear student! To get the most out of this module, here are a few reminders:

a. Read and study the lessons very carefully. Write down points for clarification. You
may ask and discuss these points with your teacher.
b. Perform all the activities. These activities are designed to enhance your
understanding of the ideas and concepts being discussed.

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 Study Schedule

In these lessons, you will learn the following:

WEEK TOPIC COMPETENCIES ACTIVITIES

Week 1 a. Illustrates a
random variable
(discrete and
January 4-8 Random Variables continuous) TOSSING THREE
and Probability b. Distinguishes COINS
Distribution between a
discrete and a Discrete or
continuous Continuous?
random variable
c. Finds the LET’S
possible values CONSTRUCT
of a random
variable.
d. Illustrates a
probability
distribution for a
discrete random
variable and its
properties
e. Computes
probabilities
corresponding
to a given
random
variable.
Week 2 a. Illustrates the
mean and
Random Variables variance of a
January 11-15 and Probability discrete random ENTRY CARD
Distribution variable.
c. Calculates the COMPLETE ME
mean and the
variance of a MATH SMASH
discrete random
variable.
d. Interprets the
mean and the
variance of a
discrete random
variable.
e. Solves problems
involving man
and variance of
probability
distributions.

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 CHAPTER 1:
Random Variables and Probability Distribution

EXPLORE

ACTIVITY 1: TOSSING THREE COINS

Direction: Suppose three coins are tossed. Let Y be the random variable
representing the number of tails that occur. Find the values of the random variable Y.
Complete the table below. Don’t forget to write your name, your year and your subject,
name of your teacher, and title of the activity. Like is what shown below.

Name: _______________________________Grade and Strand:______________

Name of your Teacher: Christine Mae V. Rabanal Subject: Mathematics

Title of the Activity: TOSSING THREE COINS

Possible Outcomes Value of the Random Variable Y

(number of tails)

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 EXPECTED SKILLS

The learner will be able to:

a. Illustrates a random variable (discrete and continuous)

b. Distinguishes between a discrete and a continuous random variable
c. Finds the possible values of a random variable.
d. Illustrates a probability distribution for a discrete random variable and its properties
e. Computes probabilities corresponding to a given random variable.

FIRM -UP

You have learned in your past lessons in mathematics that an experiment is any activity,
which can be done repeatedly under similar conditions. The set of all possible outcomes of
an experiment is called the sample space. You have also learned how to systematically list
the possible outcomes of a given experiment.

RANDOM VARIABLE

A random variable is a variable whose values depend on the outcomes of an

experiment. It is a function that maps the outcome of an experiment to real numbers. It is
a function that maps the outcome of an experiment to real numbers. A random variable is
usually denoted by an uppercase letter of the alphabet and its possible values are denoted
with the corresponding lowercase letters. As an example, consider the experiment of
tossing three coins at the same time, and let X denote the number of heads (H) that turn
up. Then the possible values of x are 0,1,2, or 3. Each element in the table below lists all
the values of the random variable X for each possible point in the sample space.

Possible HHH HTH THH HHT HTTT TTH THT TTT

Outcomes

Value of x 3 2 2 2 1 1 1 0

Other examples of random variables are listed below:

A= the sum of the numbers that turn up when a pair of diced is tossed.
B= the distance leaped in meters by a long-jumper in a competition.
W= the length of time in minutes that a scheduled airplane flight is delayed.
X= the number of correct answers a student gets in 10-item true or false test.

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 Y= the length of time it takes a swimmer to complete a 100-meter freestyle race.
Z= the number of defective items in a sample of 10 production items randomly selected
from a manufacturing process.

When a random variable can take only countable values, or if its set of possible values
is in one-to-one correspondence with a subset of natural numbers, then the variable is said
to be a discrete random variable. When a random variable takes an uncountable infinite
number of values as a result of measurement, or if its set of possible values is from a range
of real numbers, then the random variable is said to be a continuous random variable.

Discrete and Continuous Random Variables:

A variable is a quantity whose value changes. 

 
A discrete variable is a variable whose value is obtained by counting.
 
Examples:     number of student’s present
                      number of red marbles in a jar
                      number of heads when flipping three coins
                      students’ grade level
 
A continuous variable is a variable whose value is obtained by measuring.
 
Examples:    height of students in class
                     weight of students in class
                     time it takes to get to school
                     distance traveled between classes
 
A random variable is a variable whose value is a numerical outcome of a random
phenomenon.
 
▪         A random variable is denoted with a capital letter
▪         The probability distribution of a random variable X tells what the possible values
of X are and how probabilities are assigned to those values
▪         A random variable can be discrete or continuous
 
A discrete random variable X has a countable number of possible values.

Example: Let X represent the sum of two dice.

 
 
Then the probability distribution of X is as follows:

X 2 3 4 5 6 7 8 9 10 11 12

P(X)

A continuous random variable X takes all values in a given interval of numbers.

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▪         The probability distribution of a continuous random variable is shown by
a density curve.
▪         The probability that X is between an interval of numbers is the area under the
density curve between the interval endpoints
▪         The probability that a continuous random variable X is exactly equal to a
number is zero
 

Example 1 :

Four coins are tossed. Let z be the random variable representing the number of
heads that occur. Find the values of the random variable z.

Possible Outcomes Value of the Random variable z

HHHH 4
HHHT 3
HHTT 2
HTTT 1
HTHT 2
HHTH 3
HTHH 3
HTTH 2
TTTT 0
THTT 1
TTTH 1
TTHH 2
THHH 3
THHT 2
THTH 2
TTHT 1

Example 2

A shipment of 5 computers contains two that slightly defective. If a retailer

receives three of those computers at random. List the elements of the sample space using
the letters D and N for detective and non-defective computers, respectively. To each
sample point assign a value x of the random variable x representing the number of
computers purchased by the retailer which are slightly defective.

Possible Outcomes Value of the Random Variable x

DDD 3

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 DDN 2
DNN 1
NNN 0
NND 1
NDD 2
DND 2
NDN 1

Example 3:

Number of Blue Balls

Two balls are drawn in succession without replacement from an urn containing 5 red
balls and 6 blue balls. Let Z be the random variable representing the number of blue balls.
Construct the probability distribution of the random variable Z.

Steps Solution
1. Determine the sample space. Let B The sample space for this experiment is:
represent the blue ball and R S={RR, RB, BR, BB}
represent the red ball.
2. Count the number of blue balls in Possible Outcomes Variable of the
each outcome in the sample space Random Variable
and assign this number to this Z(number of blue
outcome. balls)
RR 0
RB 1
BR 1
BB 2
3. There are three possible values of Number of Blue Ball Probability P(Z0
the random variable Z representing Z
the number of blue balls. These are
0, 1, and 2. Assign the probability
values P(Z) to each value of the
0 ¼
random variable.
 There are 4 possible outcomes and
no blue ball occurs once, so the 1 ½
probability that we shall assign to
the random variable 0 is ¼. 2 ¼
 There are 4 possible outcomes and
1 blue ball occurs two times, so the
probability that we shall assign to
the random variable 1 is ½.
 There are 4 possible outcomes and
2 blue balls occur once, so the
probability that we shall assign to
the random variable 2 is ¼.

Table 1.2. The Probability Distribution or the Probability Mass Function of

Discrete Random Variable Z

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 Number of Blue Ball (Z) 0 1 2

Probability P(Z) 1/4 1/2 1/4

Example 4:

An experiment consists of rolling a pair of dice. Let Y be the random variable

representing the absolute value of the difference of the numbers that come up. Construct
the probability mass function of Y.

Solution:

The experiment can result to 36 possible pairings of the dice. The smallest and the
largest numbers that can turn up are 1 and 6, respectively, so that the largest absolute
value difference is 5. The smallest possible absolute value difference is 0 and is obtained
when the two numbers that turn up are identical. There are six possible values if the
random variable Y, namely, 0,1,2,3,4, and 5, from the 36 sample points, the possible
pairings of the dice and the corresponding values of the random variable Y are shown
below. The entries in the cells are the values of Y.

Outcomes 2nd Die (Columns)

1 2 3 4 5 6
1 0 1 2 3 4 5
2 1 0 1 2 3 4
(Rows)
1st Die

3 2 1 0 1 2 3
4 3 2 1 0 1 2
5 4 3 2 1 0 1
6 5 4 3 2 1 0

By counting the number of sample points which correspond to each value of the
random variable Y, we can compute the corresponding probabilities, the values are
summarized in the following table.

Y 0 1 2 3 4 5
Number of Sample 5 10 8 6 4 2
Points

The probability mass function expressed in tabular form is:

Y 0 1 2 3 4 5
P(Y = y) 1/6 5/18 2/9 1/6 1/9 1/18

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 DEEPEN

Now that you have learned the important skills in simple interest, your goal in this section
is to accomplish the activity below where we can apply the concepts that you have learned.

ACTIVITY 2: Discrete or Continuous?

Direction: Classify the following random variables as discrete or continuous. Write your
answer on the space provided before each item.

_______________1. Number of defective computers produced by a manufacturer.

_______________2. The weight of new born each year in hospital.
_______________3. The number of siblings in a family of a region.
_______________4. The amount of paint utilized in a building project.
_______________5. The number of dropouts in a school district for a period of 10 years.
_______________6. The number of female athletes.
_______________7. The time needed to finish the test.
_______________8. The amount of sugar in a cup of coffee.
_______________9. The average amount of electricity consumed per household per
month.
_______________10. The number of deaths per year attributed to lung cancer.

TRANSFER

Activity 3: Let’s Construct

Direction: Construct the probability distribution for random variable described each
of the following situations. Write your answer on the space provided. If the space is not
enough, you may write your solution on a separate sheet of bond paper.

1. Four coins are tossed. Let Z be the random variable representing the
number of heads occur. Find the values of the random variable Z.

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 2. Let T be the random variable giving the number of heads in three tosses of
a coin. List the elements of the sample space S for the three of the coin and
assign a value to each sample point.

LESSON 2:
COMPUTING THE MEAN OF A DISCRETE PROBABILITY DISTRIBUTION

EXPLORE

ACTIVITY 1: ENTRY CARD

Direction: Give the values of the variables X and Y, evaluate the following
summations. Write your answer on the space provided.

x 1=4 x 2=2 x 3=5 x 4 =1

Y 1=2 Y 2=1 Y 3=0 Y 4 =2

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1. ∑ X

2. ∑ Y

3. ∑ XY

4. ∑( X +Y )

5. ∑ 4 XY

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 EXPECTED SKILLS

The learner will be able to:

a. Illustrates the mean and variance of a discrete random variable.

a. Calculates the mean and the variance of a discrete random variable.
b. Interprets the mean and the variance of a discrete random variable.
a. Solves problems involving man and variance of probability distributions.

FIRM UP

Number of Spots

Consider rolling a die. What is the average number of spots that would appear? The
following activity will help you answer this question.

Step 1. Construct the probability distribution for the random variable X representing the
number of spots that would appear.

Step 2. Multiply the value of the random variable X by the corresponding probability.

Step 3. Add the results obtained in Step 2.

Solution:

Steps Solution
Step 1. Construct the Number of spots X Probability P(X)
probability distribution for the
1 1/6
random variable X
representing the number of 2 1/6
spots that would appear.
3 1/6
4 1/6
5 1/6
6 1/6

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Step 2. Multiply the value of Number of Spots Probability P(X) X∙ P (X )
the random variable X by the X
corresponding probability.
1 1/6 1/6

2 1/6 2/6

3 1/6 3/6

4 1/6 4/6

5 1/6 5/6

6 1/6 6/6

Step 3. Add the results Number of Spots Probability P(X) X∙ P (X )

obtained in Step 2. X
1 1/6 1/6

2 1/6 2/6

3 1/6 3/6

4 1/6 4/6

5 1/6 5/6

6 1/6 6/6

21
∑ X ∙ P ( X )= =3.5
6

The value obtained in Step 3 is called the mean of the random variable X or the mean
of the probability distribution of X. what does the mean tell us? The mean tells us the
average number of spots that would appear in a roll of a die. So, the average number of
spots that would appear is 3.5. Although the die will never show a number, which is 3.5,
this implies that rolling the die many times, theoretical mean would be 3.5.

Formula for the Mean of the Probability Distribution

The mean of a random variable with a discrete probability distribution is:

μ= X 1 ∙ P ( X 1 ) + X 2 ∙ P ( X 2 ) + X 3 ∙ P ( X 3) + .. . ,+ X n ∙ P ( X n ) or

μ=∑ X ∙ P( X)

Where:
Example
X , X ,2:X Xn
1 2 3 …, are the values of the random variable X;
and

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 Grocery Items

The probabilities that a customer will buy 1,2,3,4, or 5 items in a grocery store
are 3/10, 1/10, 1/10, 2/10, and 3/10, respectively. What is the average number of items
that a customer will buy?

Solutions:

Steps Solution
1. Construct the Number of items Probability
probability for the X P(X)
random variable X 1 3/10
representing the
number of items 2 1/10
that the customer
3 1/10
will buy.
4 2/10

5 3/10

2. Multiply the value of Number of items Probability X∙P(X)

the random variable X P(X)
X by the 1 3/10 3/10
corresponding
probability. 2 1/10 2/10

3 1/10 3/10

4 2/10 8/10

5 3/10 15/10

3. Add the results Number of items Probability X∙P(X)

obtained in Step 2. X P(X)
1 3/10 3/10

2 1/10 2/10

3 1/10 3/10

4 2/10 8/10

5 3/10 15/10

31
∑ X ∙ P ( X )= =3.1
10

So, the mean of the probability distribution is 3.1. this implies that the average number
of items that the customer will buy is 3.1
Example 3

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 Surgery Patients

The probabilities that a surgeon operates on 3,4,5,6, or 7 patients in any day are 0.15,
0.10, 0.20, and 0.30, respectively. Find the average number of patients that a surgeon
operates on a day.

Solutions:

Steps Solution
1) Construct the Number of items Probability
probability for the X P(X)
random variable X 1 0.15
representing the
number of items 2 0.10
that the customer
3 0.20
will buy.
4 0.25

5 0.30

2) Multiply the value of Number of items Probability X∙P(X)

the random variable X P(X)
X by the 1 0.15 0.45
corresponding
probability. 2 0.10 0.40

3 0.20 1.00

4 0.25 1.50

5 0.30 2.10

3) Add the results Number of items Probability X∙P(X)

obtained in Step 2. X P(X)
1 0.15 0.45

2 0.10 0.40

3 0.20 1.00

4 0.25 1.50

5 0.30 2.10

∑ X ∙ P ( X )=5.45

So, the average number of patients that a surgeon will operate in a day is 5.45.

LESSON 3:
COMPUTING THE VARIANCE OF A DISCRETE PROBABILITY DISTRIBUTION

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 The variance and standard deviation describe the amount of spread, dispersion, or
variability of the items in a distribution. How do you describe the spread or dispersion in a
probability distribution? This lesson will teach us to compute the variance and standard
deviation of a discrete probability distribution.

Example 4:

Number of Cars Sold

The number of cars sold per day at a local car dealership, along with its corresponding
probabilities, is shown in the succeeding table. Compute the variance and the standard
deviation of the probability distribution by the following given step.

Number of Cars Sold Probability

x P(X)
0 1/10

1 2/10

2 3/10

3 2/10

4 2/10

Steps in Finding the Variance and Standard Deviation

1. Find the mean of the probability distribution.

2. Subtract the mean from each value of the random variable X.
3. Square the results obtained in Step 2.
4. Multiply the results obtained in Step 3 by the corresponding probability.
5. Get the sum of the results obtained in Step 4.

Solution:

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Steps Solution
1. Find the mean of the probability Numbers of Cars Probability X∙P(X)
distribution. Sold X P(X)

0 2/10 0
1 2/10 2/10
2 3/10 6/10
3 2/10 6/10
4 2/10 8/10
22
μ=∑ X ∙ P ( X ) = =2.2
10
2.Subtract the mean from each X P(X) X∙P(X) X −μ
value of the random variable X.
0 1/10 0 0-2.2=-2.2
1 2/10 2/10 1-2.2=-1.2
2 3/10 6/10 2-2.2=-0.2
3 2/10 6/10 3-2.2=0.8
4 2/10 8/10 4-2.2=1.8
3. Square the results obtained in X P(X) X∙P(X) X −μ ( X −μ)2
Step 2.
0 1/10 0 -2.2 4.84

1 2/10 2/10 -1.2 1.44

2 3/10 6/10 -0.2 0.04

3 2/10 6/10 0.8 0.64

4 2/10 8/10 1.8 3.24

4.Multiply the results obtained in X P(X) X∙P(X) X −μ ( X −μ)2 ( X −μ)2 ∙ P (X )

Step 3 by the corresponding
probability. 0 1/10 0 -2.2 4.84 0.484

1 2/10 2/10 -1.2 1.44 0.288

2 3/10 6/10 -0.2 0.04 0.012

3 2/10 6/10 0.8 0.64 0.128

4 2/10 8/10 1.8 3.24 0.648

5.Get the sum of the results X P(X) X∙P(X) X −μ ( X −μ)2 ( X −μ)2 ∙ P (X )

obtained in Step 4.
σ 2=∑¿ 0 1/10 0 -2.2 4.84 0.484

1 2/10 2/10 -1.2 1.44 0.288

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 2 3/10 6/10 -0.2 0.04 0.012

3 2/10 6/10 0.8 0.64 0.128

4 2/10 8/10 1.8 3.24 0.648

σ 2=∑¿

6. Get the square root of the The variance of the probability distribution is 1.56. the standard
variance to get the deviation is σ =√ 1.56=1.25
standard deviation.

Formula for the Variance and Standard Deviation of a Discrete Probability Distribution

The variance of a discrete probability distribution is given by the formula:

σ 2=∑ ¿

The standard deviation of a discrete probability distribution is given by the formula:

σ =√ ∑¿ ¿

Where:

X= value of the random variable

P(X)= probability pf the random variable

μ= mean of the probability distribution

The variance and standard deviation can be obtained using a shorter formula and
procedure.

Alternative Procedure in Finding the Variance and Standard Deviation of a

Probability Distribution

1.Find the mean of probability distribution.

2.Multiply the square of the value of the random variable X by its corresponding probability.
3.Get the sum of the results obtained in Step 2.
4.Subtract the mean from the results obtained in Step 3.

Solution:

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Steps Solution
1. Find the mean of Number of Cars Probability P(X) X∙P(X)
probability distribution. Sold X
0 1/10 0
1 2/10 2/10
2 3/10 6/10
3 2/10 6/10
4 2/10 8/10
22
μ=∑ X ∙ P ( X ) = =2.2
10
2. Multiply the square of X P(X) X∙P(X) X 2 ∙ P (X )
the value of the random
variable X by its 0 1/10 0 1
02 ∙ =0
corresponding 10
probability. 1 2/10 2/10 2 2
12 ∙ =
10 10
2 3/10 6/10 3 12
22 ∙ =
10 10
3 2/10 6/10 2 2 18
3 ∙ =
10 10
4 2/10 8/10 2 2 32
4 ∙ =
10 10
3. Get the sum of the X P(X) X∙P(X) 2
X ∙ P (X )
results obtained in Step
2. 0 1/10 0 1
02 ∙ =0
10
1 2/10 2/10 2 2
12 ∙ =
10 10
2 3/10 6/10 3 12
22 ∙ =
10 10
3 2/10 6/10 2 2 18
3 ∙ =
10 10
4 2/10 8/10 2 2 32
4 ∙ =
10 10
64
μ=∑ X 2 ∙ P ( X )= =6.4
10
4. Subtract the The variance is
mean from the σ 2=∑ X 2 ∙ P ( X ) −μ 2
results obtained in ¿ 6.4−¿
Step 3 to get the ¿ 1.56
variance. So, the The standard deviation is:
formula for the σ =√ 1.56=1.25
distribution is
σ 2=∑ X 2 ∙ P ( X ) −μ 2

The standard
deviation is the
square root of the
variance. Thus,
σ =√ ∑ X 2 ∙ P ( X )−μ 2

The variance is 1.56 and the standard deviation is 1.25.

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 Example 5:

When three coins are tossed, the probability distribution for the random variable X
representing the number of heads that occur is given below. Compute the variance and
standard deviation of the probability distribution.

Number of Heads X Probability P(X)

0 1/8

1 3/8

2 6/8

3 3/8

Solution:
Steps Solution
1.Find the mean of the Number of Heads Probability X∙P(X)
probability distribution x P(X)
using the formula: 0 1/8 0
μ=∑ X ∙ P( X)
1 3/8 3/8

2 3/8 6/8

3 1/8 3/8

12
μ=∑ X ∙ P ( X ) = =1.5
8
2.Multiply the square of X P(X) X∙P(X) X 2 ∙ P (X )
the value of the random
variable X by its 0 1/8 0 1
corresponding probability. 02 ∙ =0
8
1 3/8 3/8 3 3
12 ∙ =
8 8
2 3/8 6/8 3 12
22 ∙ =
8 8
3 1/8 3/8 1 9
32 ∙ =
8 8
3.Get the sum of the X P(X) X∙P(X) 2
X ∙ P (X )
results obtained in Step 2.
0 1/8 0 1
02 ∙ =0
8
1 3/8 3/8 3 3
12 ∙ =
8 8
2 3/8 6/8 3 12
22 ∙ =
8 8
3 1/8 3/8 2 1 9
3 ∙ =
8 8

25
 24
∑ X 2 ∙ P ( X )= =3
8
4.Subtract the square of The variance is given by
the mean form the results σ 2=∑ X 2 ∙ P ( X ) −μ 2
obtained in Step 3 to get ¿ 3−¿
the variance. So, the ¿ 0.75
formula for the variance The standard deviation is
of a probability
distribution is given by σ =√ 0.75=0.87
σ 2=∑ X 2 ∙ P ( X ) −μ 2
The standard deviation is
the square root of the
variance. Thus,
σ =√ ∑ X 2 ∙ P ( X )−μ 2

The variance is 0.75 and the standard deviation is 0.87.

Now that you have learned the important skills in random variable, your goal in this section
is to accomplish the activity below where we can apply the concepts that you have learned.

ACTIVITY 2: COMPLETE ME

Direction: Complete the table below and find the mean, variance and standard deviation
of the following probability distribution. Write your answer on the space provided.

1.

X P(X) X∙P(X) X 2 ∙ P (X )

1 1/7

6 1/7

11 1/7

16 1/7

21 1/7

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2.
X P(X) X∙P(X) X 2 ∙ P (X )

3 0.15

6 0.35

8 0.40

10 0.10

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Activity 3: MATH SMASH

Direction: Solve the following problems. Write your answer on the space provided.

1. The probabilities of a machine manufacturing 0,1,2,3,4, or 5 defective parts in

one day are 0.75,0.17,0.04,0.025,0.01, and 0.005, respectively. Find the
variance and the standard deviation of the probability distribution.

2. The number of inquiries received per day by the Office of Admissions in a

certain university is shown below. Find the mean, variance and standard
deviation.

Number of Inquiries X Probability P(X)

22 0.08
23 0.19
24 0.36
25 0.25
26 0.07
27 0.05

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References:

Books:

Belecina, R., Baccay, E., & Mateo, E. (2016). Statistics and Probability. REX Book
Store.

Lim, Y., Nocon, R., Nocon, E., & Ruivivar, L (2016). Statistics and Probability. Sins
Publishing House, Inc.

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