# Financial Derivatives/Notions of Probability Theory

# Notions of Probability Theory

editHere we introduce the notions of probability theory essential for the understanding of the book. The interested reader is referred to more thorough accounts of probability theory.

## Useful distributions

edit### Discrete distributions

editFor a thourough list of discrete distributions and their properties the interested reader is referred to Wikipedia on discrete distributions.

#### Binomial Distribution

editThe binomial distribution of parameters and

#### Poisson distribution

editThe poisson distribution with parameter , the *intensity*