Probability for Master Level Students (MBA MCom MBE)

Quantitative Techniques involve the introduction of quantities and are essentially a helpful supplement to judgement and intuition. Quantitative Techniques provide the decision maker with a systematic and powerful means of analysis and help based on quantitative data, in exploring policies for achieving predetermined goals. Quantitative Techniques make use of scientific methods of management in decision making. During the course of the study, the student will learn those statistical techniques which help them in the decision making process. These techniques also help to develop a scientific basis for coping with the uncertainties of future demand and for dealing with such problems where quantitative techniques can be used to generate a least risk plan

Describe the core concepts of probability, explain the addition and multiplication theorems of probability and Bayes’ Theorem and apply it in various business scenarios

Basic Concepts: Random Experiment, Outcomes, Sample Space

Basic Concepts: Events – Equally Likely, Mutually Exclusive, Exhaustive, Mutually Exclusive and Exhaustive, Independent and Dependent Events

Basic Concepts: Events – Union of two Events, Intersection of two events and Compliment of an Event

Approaches / Definitions to / of Probability: Classical, Relative Frequency and Axiomatic approaches.

Theorems: Addition Theorem and Related Problems

Marginal, Conditional and Joint Probabilities: Multiplication Theorem

Bayes’ Theorem: Business Applications of Probability

References:

1) Quantitative Techniques in Management: N D Vora, Tata McGraw Hill.

2) Statistics for Management: Richard S Levin and David S Rubin, Prentice Hall of India, New Delhi

3) Complete Business Statistics: Aczel, Tata McGraw Hill.

4) Quantitative Techniques: P C Tulsian and Vishal Pandey, Pearson Education