# Ch 5: Probability and Statistics for Business

Watch probability and statistics video lessons to learn about statistical significance, percentiles, expected value, and more. Each lesson is accompanied by a short multiple-choice quiz you can use to check your understanding of these statistics topics.

## Probability and Statistics for Business Math - Chapter Summary and Learning Objectives

The lessons in this chapter present you with a variety of formulas and measurements for determining probability. You'll learn terms related to statistical and probability measures and find out their relevance and uses in a business setting. In addition, you'll study different categories of events, such as dependent and independent, and see how calculating statistical probabilities among them differ. When you finish this chapter, you should be able to do the following:

• Determine various measures of central tendency
• Calculate standard deviation
• Establish probabilities for various types of events
• Discern statistical significance
• Know what a probability distribution is
• Understand the purpose of percentiles

Video Objective
How to Calculate Mean, Median, Mode, and Range Learn the definitions of and how to calculate these four measures of central tendency.
Standard Deviation and Shifts in the Mean Know the five steps to finding the standard deviation for any data set.
Probability of Simple, Compound, and Complementary Events Learn how distinguish among and determine the probability of each of these three event types.
Probability of Independent and Dependent Events Understand how to differentiate between dependent and independent events. Know how to calculate probabilities for each.
Statistical Significance Define and calculate statistical significance.
Expected Value Learn to calculate expected value from a probability distribution table. Know how to discern residual error by comparing the expected value and the actual result.
Probability Distributions Define quartile and probability distribution. Understand the characteristics of normal distribution.
Weighted Averages Learn how to calculate a weighted average.
Percentiles Understand the definition and use of a percentile.

9 Lessons in Chapter 5: Probability and Statistics for Business
Test your knowledge with a 30-question chapter practice test
Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
Not Taken
Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
Not Taken

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