Discrete outcomes and probabilities

Methods and settings

Specify the actual alternatives

Use Discrete when a small set of explicit outcomes is more defensible than a continuous curve. Enter outcomes in absolute or additive-deviation units according to the selected mode. Integer sources require whole-number outcomes. The product rejects an incorrectly totaled probability list rather than silently normalizing your original entries.

Synthetic three-outcome example

For an eligible absolute amount, enter 80 EURk at 20%, 100 EURk at 50% and 130 EURk at 30%. The expected input is 105 EURk, although no row equals 105. Connected financial outputs may be nonlinear, so their mean need not equal the result obtained by entering that expected input once.

Conditioning an explicit list

Optional absolute bounds can remove outcomes outside the permitted interval. Remaining probabilities are then rescaled for the bounded distribution. This is deliberate conditioning after a valid original list, distinct from accepting an invalid probability total. Review retained probability and ensure at least one positive-probability outcome remains.