Permutation and combination are two essential concepts in discrete mathematics used to solve problems involving arrangements and selections of objects.
**Permutations** consider the order of arrangement of objects. If order matters, as in ranking participants or arranging books on a shelf, permutations are applicable. The formula for permutations is:
- \[P(n, k) = \frac{n!}{(n-k)!}\]
**Combinations**, however, are used when the order of selection doesn't matter, like choosing teams for a game where being the first or second team in the pair doesn't change the match.
- The combination formula is \(\binom{n}{k}\), as detailed in our previous section.
Using combinations simplifies solving problems where order doesn't matter, such as picking teams for games in a tournament. By focusing on sets rather than sequences, it allows for efficient counting and exploration of possibilities.