What does a joint probability table record?

What does a joint probability table record?

• A. Records the range of possible outcomes where there are two variables that are uncertain or risky
• B. The average of all outcomes
• C. The maximum loss in a scenario
• D. The distribution of a single variable across categories

Answer: (A)

A joint probability table records the probabilities for all possible combinations of two uncertain variables—the joint distribution. It shows, for each pair of outcomes, how likely that pair is, and the probabilities across all pairs sum to 1. This lets you see how the two variables interact, not just how one variable is distributed. It’s different from a univariate distribution, which only tracks one variable, and from concepts like the average or maximum loss, which describe summaries of outcomes rather than the full joint likelihood of pairs.

A joint probability table records the probabilities for all possible combinations of two uncertain variables—the joint distribution. It shows, for each pair of outcomes, how likely that pair is, and the probabilities across all pairs sum to 1. This lets you see how the two variables interact, not just how one variable is distributed. It’s different from a univariate distribution, which only tracks one variable, and from concepts like the average or maximum loss, which describe summaries of outcomes rather than the full joint likelihood of pairs.