Random Variables and Probability Distributions
Random Variables and Probability Distributions
Probability Distributions
Random Variables
A random variable x represents a numerical value
associated with each outcome of a probability
distribution.
A random variable is discrete if it has a finite or
countable number of possible outcomes that can be
listed.
x
0 2 4 6 8 10
In Words In Symbols
1. The probability of each 0 P (x) 1
value of the discrete random
variable is between 0 and 1,
inclusive.
2. The sum of all the ΣP (x) = 1
probabilities is 1.
Guidelines
Let x be a discrete random variable with possible
outcomes x1, x2, … , xn.
1. Make a frequency distribution for the possible
outcomes.
2. Find the sum of the frequencies.
3. Find the probability of each possible outcome by
dividing its frequency by the sum of the
frequencies.
4. Check that each probability is between 0 and 1
and that the sum is 1.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 7
Constructing a Discrete Probability
Distribution
Example:
The spinner below is divided into two sections. The
probability of landing on the 1 is 0.25. The probability
of landing on the 2 is 0.75. Let x be the number the
spinner lands on. Construct a probability distribution
for the random variable x.
x P (x)
1
1 0.25 Each probability is
2 between 0 and 1.
2 0.75
Example:
Find the mean of the probability distribution for the
sum of the two spins.
x P (x) xP (x)
2 0.062 2(0.0625) = ΣxP(x) = 3.5
5 0.125
The mean for
3 0.375 3(0.375) =
the two spins is
4 0.562 1.125
3.5.
4(0.5625) = 2.25
Larson & Farber, Elementary Statistics: Picturing the World, 3e 13
Variance
The variance of a discrete random variable is given
by
2 = Σ(x – μ)2P (x).
Example:
Find the variance of the probability distribution for the
sum of the two spins. The mean is 3.5.
Example:
Find the standard deviation of the probability
distribution for the sum of the two spins. The variance
is 0.376. 2
σ σ
x P (x) x–μ (x – P (x)(x –
μ)2 μ)2 0.376 0.613
2 0.062 –
5 1.5 2.25 0.141 Most of the sums
differ from the
3 0.375 – 0.25 0.094
mean by no more
4 0.562 0.5 0.25 0.141 than 0.6 points.
5 0.5
Larson & Farber, Elementary Statistics: Picturing the World, 3e 15
Expected Value
The expected value of a discrete random variable is
equal to the mean of the random variable.
Expected Value = E(x) = μ = ΣxP(x).
Example:
At a raffle, 500 tickets are sold for $1 each for two
prizes of $100 and $50. What is the expected value of
your gain?
Your gain for the $100 prize is $100 – $1 = $99.
Your gain for the $50 prize is $50 – $1 = $49.
Write a probability distribution for the possible
gains (or outcomes).
Continued.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 16
Expected Value
Example continued:
At a raffle, 500 tickets are sold for $1 each for two
prizes of $100 and $50. What is the expected value of
your gain?
Gain,
P (x) E(x) = ΣxP(x).
x 1
$99 500 1 1 498
$99 $49 ( $1)
1 500 500 500
$49 500
$0.70
–$1 498
500
Because the expected value
Winning is negative, you can expect to
no prize
lose $0.70 for each ticket you
buy.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 17
Examples
1. Tossing a coin three 2. Tossing a die, if we
times and denote the denote the number
number of heads: that occurs by x:
P(x=0) = 1/8
P(x=1) = 3/8
P(x=2) = 3/8
P(x=3) = 1/8
Red
Blue
Green
White
Outcome Probability
Probability
of Outcome of the
value