Two events are independent if the probability of the first event happening has no impact on the probability of the second event happening. For example, the probability of rolling a 6 on a die will not ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Tree diagrams are a visual way of showing all possible outcomes of two or more events. Each branch is a possible outcome and is labelled with a probability. Two events are independent if the ...