CAT 2025 Lesson : Probability - Odds For & Against
7. Odds for and Odds Against
The odds for an event is the ratio of the number of favourable cases to the number of unfavourable cases.
Odds for event E =n(E)n(E)=P(E)P(E)
The odds against an event is the ratio of number of unfavourable cases to the number of favourable cases.
Odds against event E =n(E)n(E)=P(E)P(E)
For instance, if the probability of India winning a match is 54, then for every 4 wins, there should be 1 loss.
∴Odd for India winning is 4to1, while Odds against India winning is 1to4.
Example 21
The odds in favour of OnePlus launching a new phone is 4 to 3, while the odds against Apple launching a new phone is 2 to 5. What is the odds in favour of at least one of them launching a new phone?
Solution
Probability of OnePlus and Apple launching new phones are 74 and 75 respectively.
Probability of neither of them launching =(1−74)×(1−75)=73×72=496
Probability of at least one of them launching =1−496=4943
Odds in favour of at least one of them launching =43 to (49−43)=43to6
Answer: 43 to 6
Example 22
The odds for CSK defeating MI is 4 to 1. CSK and MI play 3 friendly games. What are the odds against CSK defeating MI in all 3 games?
(1) 61 to 64 (2) 64 to 61   (3) 64 to 125 (4) 125 to 64
Solution
We should first convert the odds to probability and then apply it.
P(CSK beating MI) =4+14=54
P(CSK beating MI in all 3 games) =54×54×54=12564-----(1)
P(CSK not beating MI in all 3 games) =1−12564=12561 -----(2)
Odds against CSK beating MI in all 3 games =P(E)P(E)=(1)(2)=6461
Answer: (1) 61 to 64
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