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Calculate compound probabilities

Calculate compound probabilities - Microsoft Excel Tutorial

From the course: Learning Excel: Data Analysis

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Calculate compound probabilities

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- [Instructor] In the previous movie, I described how to calculate simple probabilities, that is the probability of a single trial. In this movie, I will describe compound probabilities. Compound probabilities assume that you want to analyze multiple independent trials. And by independent, that means that the second trial or outcome, in other words, the second flip of a coin or a throw of a die, is independent of the first. If you do have multiple independent trials, then you will multiply probabilities to get a compound probability. So flipping a coin will end up on heads half the time. So the probability of getting heads twice in a row, assuming that the coin is fair, would be 1/2 times 1/2 equals 1/4. One easy mistake to make is to assume the compound probability after you've already started. In other words, one of the trials has been done. If you're flipping a coin, again, a fair coin with a one half probability of getting heads and you flip and get heads, the probability of…

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