Notation
If X follows a poisson distribution with a mean of, lambda (λ) occurrences per interval or rate. We write it as.
Probability Mass Function (PMF)
Cumulative Distribution Function (CDF)
Combine Independent Variables
For any combined independents variables.
Mean
Lambda (λ) is the mean number of events within a given interval of time or space.
If the mean is large then the Poisson distribution is approximately a normal distribution.
Variance
In poisson distribution variance is equals to mean.
Standard Deviation
Standard Deviation for a poisson distribution is given by.
Conditions
- The events must be independent of each other. The occurrence of one event must not affect the probability another event will occur.
- The average rate, events per time is constant.
- Two events cannot occur at the same time.
When?
Poisson distribution is used when we know the rate or interval in which the event occurs. Here are some examples —
- We know the percentage of defective pieces in production
- People arriving every hour.
- Number of phone calls in a day.
I hope this article provides you with a basic understanding of Poisson Distribution.
If you have any questions or if you find anything misrepresented please let me know.
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