Measure of dispersion has two types Absolute measure and Graphical measure. There are other different types in there.
In this slide the discussed points are:
1. Dispersion & it's types
2. Definition
3. Use
4. Merits
5. Demerits
6. Formula & math
7. Graph and pictures
8. Real life application.
Topic: Variance
Student Name: Sonia Khan
Class: B.Ed. 2.5
Project Name: “Young Teachers' Professional Development (TPD)"
"Project Founder: Prof. Dr. Amjad Ali Arain
Faculty of Education, University of Sindh, Pakistan
Measure of dispersion has two types Absolute measure and Graphical measure. There are other different types in there.
In this slide the discussed points are:
1. Dispersion & it's types
2. Definition
3. Use
4. Merits
5. Demerits
6. Formula & math
7. Graph and pictures
8. Real life application.
Topic: Variance
Student Name: Sonia Khan
Class: B.Ed. 2.5
Project Name: “Young Teachers' Professional Development (TPD)"
"Project Founder: Prof. Dr. Amjad Ali Arain
Faculty of Education, University of Sindh, Pakistan
1. Rentang
2. Rentang antarkuartil
3. Rentang semikuartil
4. Rentang a-b persentil
5. Simpangan baku
6. Variansi
7. Ukuran penyebaaran relatif
8. Bilangan baku
SAMPLING MEANDEFINITIONThe term sampling mean is a stati.docxanhlodge
SAMPLING MEAN:
DEFINITION:
The term sampling mean is a statistical term used to describe the properties of statistical distributions. In statistical terms, the sample meanfrom a group of observations is an estimate of the population mean. Given a sample of size n, consider n independent random variables X1, X2... Xn, each corresponding to one randomly selected observation. Each of these variables has the distribution of the population, with mean and standard deviation. The sample mean is defined to be
WHAT IT IS USED FOR:
It is also used to measure central tendency of the numbers in a database. It can also be said that it is nothing more than a balance point between the number and the low numbers.
HOW TO CALCULATE IT:
To calculate this, just add up all the numbers, then divide by how many numbers there are.
Example: what is the mean of 2, 7, and 9?
Add the numbers: 2 + 7 + 9 = 18
Divide by how many numbers (i.e., we added 3 numbers): 18 ÷ 3 = 6
So the Mean is 6
SAMPLE VARIANCE:
DEFINITION:
The sample variance, s2, is used to calculate how varied a sample is. A sample is a select number of items taken from a population. For example, if you are measuring American people’s weights, it wouldn’t be feasible (from either a time or a monetary standpoint) for you to measure the weights of every person in the population. The solution is to take a sample of the population, say 1000 people, and use that sample size to estimate the actual weights of the whole population.
WHAT IT IS USED FOR:
The sample variance helps you to figure out the spread out in the data you have collected or are going to analyze. In statistical terminology, it can be defined as the average of the squared differences from the mean.
HOW TO CALCULATE IT:
Given below are steps of how a sample variance is calculated:
· Determine the mean
· Then for each number: subtract the Mean and square the result
· Then work out the mean of those squared differences.
To work out the mean, add up all the values then divide by the number of data points.
First add up all the values from the previous step.
But how do we say "add them all up" in mathematics? We use the Roman letter Sigma: Σ
The handy Sigma Notation says to sum up as many terms as we want.
· Next we need to divide by the number of data points, which is simply done by multiplying by "1/N":
Statistically it can be stated by the following:
·
· This value is the variance
EXAMPLE:
Sam has 20 Rose Bushes.
The number of flowers on each bush is
9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
Work out the sample variance
Step 1. Work out the mean
In the formula above, μ (the Greek letter "mu") is the mean of all our values.
For this example, the data points are: 9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
The mean is:
(9+2+5+4+12+7+8+11+9+3+7+4+12+5+4+10+9+6+9+4) / 20 = 140/20 = 7
So:
μ = 7
Step 2. Then for each number: subtract the Mean and square the result
This is t.
SAMPLING MEANDEFINITIONThe term sampling mean is a stati.docxagnesdcarey33086
SAMPLING MEAN:
DEFINITION:
The term sampling mean is a statistical term used to describe the properties of statistical distributions. In statistical terms, the sample meanfrom a group of observations is an estimate of the population mean. Given a sample of size n, consider n independent random variables X1, X2... Xn, each corresponding to one randomly selected observation. Each of these variables has the distribution of the population, with mean and standard deviation. The sample mean is defined to be
WHAT IT IS USED FOR:
It is also used to measure central tendency of the numbers in a database. It can also be said that it is nothing more than a balance point between the number and the low numbers.
HOW TO CALCULATE IT:
To calculate this, just add up all the numbers, then divide by how many numbers there are.
Example: what is the mean of 2, 7, and 9?
Add the numbers: 2 + 7 + 9 = 18
Divide by how many numbers (i.e., we added 3 numbers): 18 ÷ 3 = 6
So the Mean is 6
SAMPLE VARIANCE:
DEFINITION:
The sample variance, s2, is used to calculate how varied a sample is. A sample is a select number of items taken from a population. For example, if you are measuring American people’s weights, it wouldn’t be feasible (from either a time or a monetary standpoint) for you to measure the weights of every person in the population. The solution is to take a sample of the population, say 1000 people, and use that sample size to estimate the actual weights of the whole population.
WHAT IT IS USED FOR:
The sample variance helps you to figure out the spread out in the data you have collected or are going to analyze. In statistical terminology, it can be defined as the average of the squared differences from the mean.
HOW TO CALCULATE IT:
Given below are steps of how a sample variance is calculated:
· Determine the mean
· Then for each number: subtract the Mean and square the result
· Then work out the mean of those squared differences.
To work out the mean, add up all the values then divide by the number of data points.
First add up all the values from the previous step.
But how do we say "add them all up" in mathematics? We use the Roman letter Sigma: Σ
The handy Sigma Notation says to sum up as many terms as we want.
· Next we need to divide by the number of data points, which is simply done by multiplying by "1/N":
Statistically it can be stated by the following:
·
· This value is the variance
EXAMPLE:
Sam has 20 Rose Bushes.
The number of flowers on each bush is
9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
Work out the sample variance
Step 1. Work out the mean
In the formula above, μ (the Greek letter "mu") is the mean of all our values.
For this example, the data points are: 9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
The mean is:
(9+2+5+4+12+7+8+11+9+3+7+4+12+5+4+10+9+6+9+4) / 20 = 140/20 = 7
So:
μ = 7
Step 2. Then for each number: subtract the Mean and square the result
This is t.
SAMPLING MEAN DEFINITION The term sampling mean is.docxagnesdcarey33086
SAMPLING MEAN:
DEFINITION:
The term sampling mean is a statistical term used to describe the properties of statistical
distributions. In statistical terms, the sample mean from a group of observations is an
estimate of the population mean . Given a sample of size n, consider n independent random
variables X1, X2... Xn, each corresponding to one randomly selected observation. Each of these
variables has the distribution of the population, with mean and standard deviation . The
sample mean is defined to be
WHAT IT IS USED FOR:
It is also used to measure central tendency of the numbers in a database. It can also be said that
it is nothing more than a balance point between the number and the low numbers.
HOW TO CALCULATE IT:
To calculate this, just add up all the numbers, then divide by how many numbers there are.
Example: what is the mean of 2, 7, and 9?
Add the numbers: 2 + 7 + 9 = 18
Divide by how many numbers (i.e., we added 3 numbers): 18 ÷ 3 = 6
So the Mean is 6
SAMPLE VARIANCE:
DEFINITION:
The sample variance, s2, is used to calculate how varied a sample is. A sample is a select number
of items taken from a population. For example, if you are measuring American people’s weights,
it wouldn’t be feasible (from either a time or a monetary standpoint) for you to measure the
weights of every person in the population. The solution is to take a sample of the population, say
1000 people, and use that sample size to estimate the actual weights of the whole population.
WHAT IT IS USED FOR:
The sample variance helps you to figure out the spread out in the data you have collected or are
going to analyze. In statistical terminology, it can be defined as the average of the squared
differences from the mean.
HOW TO CALCULATE IT:
Given below are steps of how a sample variance is calculated:
• Determine the mean
• Then for each number: subtract the Mean and square the result
• Then work out the mean of those squared differences.
To work out the mean, add up all the values then divide by the number of data points.
First add up all the values from the previous step.
But how do we say "add them all up" in mathematics? We use the Roman letter Sigma: Σ
The handy Sigma Notation says to sum up as many terms as we want.
• Next we need to divide by the number of data points, which is simply done by
multiplying by "1/N":
Statistically it can be stated by the following:
•
• This value is the variance
EXAMPLE:
Sam has 20 Rose Bushes.
The number of flowers on each bush is
9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
Work out the sample variance
Step 1. Work out the mean
In the formula above, µ (the Greek letter "mu") is the mean of all our values.
For this example, the data points are: 9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
The mean is:
(9+2+5+4+12+7+8+11+9+3+7+4+12+5+4+10+9+6+9+4) / 20 = 140/20 = 7
So:
µ.
SAMPLING MEAN DEFINITION The term sampling mean .docxanhlodge
SAMPLING MEAN:
DEFINITION:
The term sampling mean is a statistical term used to describe the properties of statistical
distributions. In statistical terms, the sample mean from a group of observations is an
estimate of the population mean . Given a sample of size n, consider n independent random
variables X1, X2... Xn, each corresponding to one randomly selected observation. Each of these
variables has the distribution of the population, with mean and standard deviation . The
sample mean is defined to be
WHAT IT IS USED FOR:
It is also used to measure central tendency of the numbers in a database. It can also be said that
it is nothing more than a balance point between the number and the low numbers.
HOW TO CALCULATE IT:
To calculate this, just add up all the numbers, then divide by how many numbers there are.
Example: what is the mean of 2, 7, and 9?
Add the numbers: 2 + 7 + 9 = 18
Divide by how many numbers (i.e., we added 3 numbers): 18 ÷ 3 = 6
So the Mean is 6
SAMPLE VARIANCE:
DEFINITION:
The sample variance, s2, is used to calculate how varied a sample is. A sample is a select number
of items taken from a population. For example, if you are measuring American people’s weights,
it wouldn’t be feasible (from either a time or a monetary standpoint) for you to measure the
weights of every person in the population. The solution is to take a sample of the population, say
1000 people, and use that sample size to estimate the actual weights of the whole population.
WHAT IT IS USED FOR:
The sample variance helps you to figure out the spread out in the data you have collected or are
going to analyze. In statistical terminology, it can be defined as the average of the squared
differences from the mean.
HOW TO CALCULATE IT:
Given below are steps of how a sample variance is calculated:
• Determine the mean
• Then for each number: subtract the Mean and square the result
• Then work out the mean of those squared differences.
To work out the mean, add up all the values then divide by the number of data points.
First add up all the values from the previous step.
But how do we say "add them all up" in mathematics? We use the Roman letter Sigma: Σ
The handy Sigma Notation says to sum up as many terms as we want.
• Next we need to divide by the number of data points, which is simply done by
multiplying by "1/N":
Statistically it can be stated by the following:
•
http://www.statisticshowto.com/find-sample-size-statistics/
http://www.mathsisfun.com/algebra/sigma-notation.html
• This value is the variance
EXAMPLE:
Sam has 20 Rose Bushes.
The number of flowers on each bush is
9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
Work out the sample variance
Step 1. Work out the mean
In the formula above, μ (the Greek letter "mu") is the mean of all our values.
For this example, the data points are: 9, 2, 5, 4, 12, 7, 8,.
A General Manger of Harley-Davidson has to decide on the size of a.docxevonnehoggarth79783
A General Manger of Harley-Davidson has to decide on the size of a new facility. The GM has narrowed the choices to two: large facility or small facility. The company has collected information on the payoffs. It now has to decide which option is the best using probability analysis, the decision tree model, and expected monetary value.
Options:
Facility
Demand Options
Probability
Actions
Expected Payoffs
Large
Low Demand
0.4
Do Nothing
($10)
Low Demand
0.4
Reduce Prices
$50
High Demand
0.6
$70
Small
Low Demand
0.4
$40
High Demand
0.6
Do Nothing
$40
High Demand
0.6
Overtime
$50
High Demand
0.6
Expand
$55
Determination of chance probability and respective payoffs:
Build Small:
Low Demand
0.4($40)=$16
High Demand
0.6($55)=$33
Build Large:
Low Demand
0.4($50)=$20
High Demand
0.6($70)=$42
Determination of Expected Value of each alternative
Build Small: $16+$33=$49
Build Large: $20+$42=$62
Click here for the Statistical Terms review sheet.
Submit your conclusion in a Word document to the M4: Assignment 2 Dropbox byWednesday, November 18, 2015.
A General Manger of Harley
-
Davidson has to decide on the size of a new facility. The GM has narrowed
the choices to two: large facility or small facility. The company has collected information on the payoffs. It
now has to decide which option is the best u
sing probability analysis, the decision tree model, and
expected monetary value.
Options:
Facility
Demand
Options
Probability
Actions
Expected
Payoffs
Large
Low Demand
0.4
Do Nothing
($10)
Low Demand
0.4
Reduce Prices
$50
High Demand
0.6
$70
Small
Low Demand
0.4
$40
High Demand
0.6
Do Nothing
$40
High Demand
0.6
Overtime
$50
High Demand
0.6
Expand
$55
A General Manger of Harley-Davidson has to decide on the size of a new facility. The GM has narrowed
the choices to two: large facility or small facility. The company has collected information on the payoffs. It
now has to decide which option is the best using probability analysis, the decision tree model, and
expected monetary value.
Options:
Facility
Demand
Options
Probability Actions
Expected
Payoffs
Large Low Demand 0.4 Do Nothing ($10)
Low Demand 0.4 Reduce Prices $50
High Demand 0.6
$70
Small Low Demand 0.4
$40
High Demand 0.6 Do Nothing $40
High Demand 0.6 Overtime $50
High Demand 0.6 Expand $55
SAMPLING MEAN:
DEFINITION:
The term sampling mean is a statistical term used to describe the properties of statistical distributions. In statistical terms, the sample meanfrom a group of observations is an estimate of the population mean. Given a sample of size n, consider n independent random variables X1, X2... Xn, each corresponding to one randomly selected observation. Each of these variables has the distribution of the population, with mean and standard deviation. The sample mean is defined to be
WHAT IT IS USED FOR:
It is also used to measure central tendency of the numbers in a .
This presentation includes the following subtopics
• Norm- Referenced and Criterion Referenced Assessment
• Measures of Central Tendency
• Measures of Location/Point Measures
• Measures of Variability
• Standard Scores
• Skewness and Kurtosis
• Correlation
The Indian economy is classified into different sectors to simplify the analysis and understanding of economic activities. For Class 10, it's essential to grasp the sectors of the Indian economy, understand their characteristics, and recognize their importance. This guide will provide detailed notes on the Sectors of the Indian Economy Class 10, using specific long-tail keywords to enhance comprehension.
For more information, visit-www.vavaclasses.com
Palestine last event orientationfvgnh .pptxRaedMohamed3
An EFL lesson about the current events in Palestine. It is intended to be for intermediate students who wish to increase their listening skills through a short lesson in power point.
Synthetic Fiber Construction in lab .pptxPavel ( NSTU)
Synthetic fiber production is a fascinating and complex field that blends chemistry, engineering, and environmental science. By understanding these aspects, students can gain a comprehensive view of synthetic fiber production, its impact on society and the environment, and the potential for future innovations. Synthetic fibers play a crucial role in modern society, impacting various aspects of daily life, industry, and the environment. ynthetic fibers are integral to modern life, offering a range of benefits from cost-effectiveness and versatility to innovative applications and performance characteristics. While they pose environmental challenges, ongoing research and development aim to create more sustainable and eco-friendly alternatives. Understanding the importance of synthetic fibers helps in appreciating their role in the economy, industry, and daily life, while also emphasizing the need for sustainable practices and innovation.
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The map views are useful for providing a geographical representation of data. They allow users to visualize and analyze the data in a more intuitive manner.
Ethnobotany and Ethnopharmacology:
Ethnobotany in herbal drug evaluation,
Impact of Ethnobotany in traditional medicine,
New development in herbals,
Bio-prospecting tools for drug discovery,
Role of Ethnopharmacology in drug evaluation,
Reverse Pharmacology.
Unit 8 - Information and Communication Technology (Paper I).pdfThiyagu K
This slides describes the basic concepts of ICT, basics of Email, Emerging Technology and Digital Initiatives in Education. This presentations aligns with the UGC Paper I syllabus.
We all have good and bad thoughts from time to time and situation to situation. We are bombarded daily with spiraling thoughts(both negative and positive) creating all-consuming feel , making us difficult to manage with associated suffering. Good thoughts are like our Mob Signal (Positive thought) amidst noise(negative thought) in the atmosphere. Negative thoughts like noise outweigh positive thoughts. These thoughts often create unwanted confusion, trouble, stress and frustration in our mind as well as chaos in our physical world. Negative thoughts are also known as “distorted thinking”.
The French Revolution, which began in 1789, was a period of radical social and political upheaval in France. It marked the decline of absolute monarchies, the rise of secular and democratic republics, and the eventual rise of Napoleon Bonaparte. This revolutionary period is crucial in understanding the transition from feudalism to modernity in Europe.
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Instructions for Submissions thorugh G- Classroom.pptxJheel Barad
This presentation provides a briefing on how to upload submissions and documents in Google Classroom. It was prepared as part of an orientation for new Sainik School in-service teacher trainees. As a training officer, my goal is to ensure that you are comfortable and proficient with this essential tool for managing assignments and fostering student engagement.
How to Make a Field invisible in Odoo 17Celine George
It is possible to hide or invisible some fields in odoo. Commonly using “invisible” attribute in the field definition to invisible the fields. This slide will show how to make a field invisible in odoo 17.
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
2024.06.01 Introducing a competency framework for languag learning materials ...
Measures of Variation
1.
2. Used to determine the scatter of
values in a distribution. In this
chapter, we will consider the six
measures of variation: the range,
quartile deviation, mean deviation,
variance, standard deviation and
the coefficient of variation
4. o Range
The difference between the highest and
lowest values in the distribution.
RANGE = H - L
Where: H= represents the highest value
L = represents the lower value
5. Ungrouped Data
Subtract the lowest score from the highest
score.
Example: Find the range of distribution if the
highest score is 100 and the lowest score is 21.
Solution:
Range = highest score- lowest score
= 100-21
= 79
6. Grouped Data
To find the range for a frequency
distribution, just get the differences
between the upper limit of the highest
score and the lower limit of the lowest
class interval
7. Example: Find the range for the frequency
distribution
Class interval
Frequency
100-104 4
105-109 6
110-114 10
115-119 13
120-124 8
125-129 6
130-134 3
N= 50
10. oQuartile Deviations
Is a measure that describes the existing
dispersion in terms of the distance selected
observation points. The smaller the quartiles
deviation, the greater the concentration in the middle
half if the observation in the data set.
Are measures of variation which uses
percentiles, deciles, or quartiles.
Quartile Deviation (QD) means the semi
variation between the upper quartiles (Q3) and lower
quartiles (Q1) in a distribution. Q3 - Q1 is referred as
the interquartile range.
11. Formula:
QD = Q3 - Q1/2
where and are the first and third quartiles
and is the interquartile range.
12. A. Ungrouped Data
Example: given the data below
33
52
58
41
56
71
77
74
85
45
82
50
62
51
67
79
48
83
43
81
38
79
65
68
59
15. For P25
Cum. Freq. of P25= . 25=6.6 or which means that P25 is entry6th
P25= 48
But semi interquartile range= = =
Semi-interquartile range= = = or =
Hence semi interquartile range = 14.5
16. A. Group Data
Example:
Class Intervals f
<cf
21-23
24-26
3
4
3
7
27-29 6
13
30-32 10
23
33-35 5
28
36-38 2
n=30
30
17. Solution:
Note that Q3-Q1= P75-P25
For P75
Cum freq. of P75 = x 75= 22.5 or 22
L= 29.5 f= 10 F=13, c=3 j= 75
P75= 32.35
For P25
Cum freq. of P25= x 25= 7.5 or 8
L= 26.5 f= 6 F=7, c=3 j= 25
P25= 26.75
Finally the interquartile range is P75-P25= 32.35-26.75= 5.6
18. o Mean Deviation
The mean deviation or average
deviation is the arithmetic mean of
the absolute deviations and is denoted by .
23. In probability theory and statistics
variance measures how far a set of numbers
is spread out. A variance of zero indicates that
all the values are identical. Variance is always
non-negative: a small variance indicates that
the data points tend to be very close to
the mean expected value and hence to each
other, while a high variance indicates that the
data points are very spread out around the
mean and from each other.
24. It is important to distinguish
between the variance of a
population and the variance of a
sample. They have different
notation, and they are computed
differently.
The variance of a population is
denoted by σ2
; and the variance of a
sample, by s2
.
25. The variance of a population is
defined by the following formula:
σ2
= Σ ( Xi - X )2
/ N
where σ2
is the population variance, X is
the population mean, Xi is the ith
element from the population, and N is
the number of elements in the
population.
26. The variance of a sample is defined by
slightly different formula:
s2
= Σ ( xi - x )2
/ ( n - 1 )
where s2
is the sample variance, x is the sample
mean, xi is the ith element from the sample, and
n is the number of elements in the sample. Using
this formula, the variance of the sample is an
unbiased estimate of the variance of the
population.
27. For example, suppose you want to find the
variance of scores on a test. Suppose the
scores are 67, 72, 85, 93 and 98.
Write down the formula for variance:
σ2
= ∑ (x-µ)2
/ N
There are five scores in total, so N = 5.
σ2
= ∑ (x-µ)2
/ 5
28. The formula will look like this:
σ2
= [ (-16)2
+(-11)2
+(2)2
+(10)2
+(15)2] / 5
Then, square each paranthesis. We get 256,
121, 4, 100 and 225.
This is how:
σ2
= [ (-16)x(-16)+(-11)x(-
11)+(2)x(2)+(10)x(10)+(15)x(15)] / 5
σ2
= [ 16x16 + 11x11 + 2x2 + 10x10 + 15x15] / 5
which equals:
σ2
= [256 + 121 + 4 + 100 + 225] / 5
29. The mean (µ) for the five scores (67, 72, 85, 93, 98),
so µ = 83.
σ2
= ∑ (x-83)2
/ 5
Now, compare each score (x = 67, 72, 85, 93,
98) to the mean (µ = 83)
σ2
= [ (67-83)2
+(72-83)2
+(85-83)2
+(93-83)2
+(98-83)2
] / 5
Conduct the subtraction in each parenthesis.
67-83 = -16
72-83 = -11
85-83 = 2
93-83 = 10
98 - 83 = 15
30. Then summarize the numbers inside the
brackets:
σ2
= 706 / 5
To get the final answer, we divide the sum by
5 (Because it was five scores). This is the
variance for the dataset:
σ2
= 141.2
32. The Standard Deviation is a measure of how spread out
numbers are.
The symbol for Standard Deviation is σ (the Greek letter sigma).
This is the formula for Standard Deviation:
Say we have a bunch of numbers like 9, 2, 5, 4, 12, 7, 8, 11.
To calculate the standard deviation of those numbers:
1. Work out the Mean (the simple average of the numbers)
2. Then for each number: subtract the Mean and square the result
3. Then work out the mean of those squared differences.
4. Take the square root of that and we are done!
First, let us have some example values to work on:
Example: Sam has 20 Rose Bushes.
The number of flowers on each bush is
9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
o STANDARD DEVIATION
33. Work out the Standard Deviation.
Step 1. Work out the mean
In the formula above μ (the greek letter "mu") is the mean of all our
values ...
Example: 9, 2, 5, 4, 12, 7, 8, 11, 9, 3, 7, 4, 12, 5, 4, 10, 9, 6, 9, 4
The mean is:
9+2+5+4+12+7+8+11+9+3+7+4+12+5+4+10+9+6+9+420
= 14020 = 7
So: μ = 7
Step 2. Then for each number: subtract the Mean and square the
result
This is the part of the formula that says:
So what is xi ? They are the individual x values 9, 2, 5, 4, 12, 7, etc...
In other words x1 = 9, x2 = 2, x3 = 5, etc.
34. So it says "for each value, subtract the mean and square the result", like this
Example (continued):
(9 - 7)2
= (2)2
= 4
(2 - 7)2
= (-5)2
= 25
(5 - 7)2
= (-2)2
= 4
(4 - 7)2
= (-3)2
= 9
(12 - 7)2
= (5)2
= 25
(7 - 7)2
= (0)2
= 0
(8 - 7)2
= (1)2
= 1
... etc ...
Step 3. Then work out the mean of those squared differences.
To work out the mean, add up all the values then divide by how
many.
First add up all the values from the previous step.
But how do we say "add them all up" in mathematics? We use "Sigma": Σ
The handy Sigma Notation says to sum up as many terms as we want:
35. We already calculated (x1-7)2
=4 etc. in the previous step, so just sum them
up:
= 4+25+4+9+25+0+1+16+4+16+0+9+25+4+9+9+4+1+4+9 = 178
But that isn't the mean yet, we need to divide by how many, which is
simply done by multiplying by "1/N":
We want to add up all the values from 1 to N, where N=20 in our case
because there are 20 values:
Example (continued):
Which means: Sum all values from (x1-7)2
to (xN-7)2
36. Step 4. Take the square root of that:
Example (concluded):
Example (continued):
Mean of squared differences = (1/20) × 178 = 8.9
(Note: this value is called the "Variance")
σ = √(8.9) = 2.983...
Sample Standard Deviation
Sometimes our data is only a sample of the whole population.
Example: Sam has 20 rose bushes, but what if Sam only counted the
flowers on 6 of them?
The "population" is all 20 rose bushes,
and the "sample" is the 6 he counted. Let us say they are:
9, 2, 5, 4, 12, 7
We can still estimate the Standard Deviation.
37. Step 4. Take the square root of that:
Example (concluded):
But when we use the sample as an estimate of the whole
population, the Standard Deviation formula changes to this:
The formula for Sample Standard Deviation:
The important change is "N-1" instead of "N" (which is called
"Bessel's correction").
The symbols also change to reflect that we are working on a sample
instead of the whole population:
The mean is now x (for sample mean) instead of μ (the population
mean),
And the answer is s (for Sample Standard Deviation) instead of σ.
But that does not affect the calculations. Only N-1 instead of N
changes the calculations.
38. OK, let us now calculate the Sample Standard Deviation:
Step 1. Work out the mean
Example 2: Using sampled values 9, 2, 5, 4, 12, 7
The mean is (9+2+5+4+12+7) / 6 = 39/6 = 6.5
So: x = 6.5
Step 2. Then for each number: subtract the Mean and square the result
Example 2 (continued):
(9 - 6.5)2
= (2.5)2
= 6.25
(2 - 6.5)2
= (-4.5)2
= 20.25
(5 - 6.5)2
= (-1.5)2
= 2.25
(4 - 6.5)2
= (-2.5)2
= 6.25
(12 - 6.5)2
= (5.5)2
= 30.25
(7 - 6.5)2
= (0.5)2
= 0.25
39. Step 3. Then work out the mean of those squared differences.
To work out the mean, add up all the values then divide by how many.
But hang on ... we are calculating the Sample Standard Deviation, so
instead of dividing by how many (N), we will divide by N-1
Example 2 (continued):
Sum = 6.25 + 20.25 + 2.25 + 6.25 + 30.25 + 0.25 = 65.5
Divide by N-1: (1/5) × 65.5 = 13.1
(This value is called the "Sample Variance")
Step 4. Take the square root of that:
Example 2 (concluded):
s = √(13.1) = 3.619...
40. Comparing
When we used the whole population we got: Mean = 7, Standard
Deviation = 2.983...
When we used the sample we got: Sample Mean = 6.5, Sample Standard
Deviation = 3.619...
Our Sample Mean was wrong by 7%, and our Sample Standard Deviation
was wrong by 21%.
Why Would We Take a Sample?
Mostly because it is easier and cheaper.
Imagine you want to know what the whole country thinks ... you
can't ask millions of people, so instead you ask maybe 1,000 people.
41. "You don't have to eat the whole ox to know that the meat is
tough."
This is the essential idea of sampling. To find out information
about the population (such as mean and standard deviation), we do not
need to look at all members of the population; we only need a sample.
But when we take a sample, we lose some accuracy.
Summary
The Population Standard Deviation:
The Sample Standard Deviation:
42. oCoefficient of Variation (CV)
Refers to a statistical measure of the
distribution of data points in a data series
around the mean. It represents the ratio of
the Standard Deviation to the mean. The
coefficient of variation is a helpful statistic in
comparing the degree of variation from one
data series to the other, although the means
are considerably different from each other.
43. The CV enables the determination of
assumed volatility as compared to the amount
of return expected from an investment. Putting
it simple, a lower ratio of standard deviation to
mean return indicates a better risk-return
trade off.
44. Coefficient of Variation Formula
Coefficient of Variation is expressed as the ratio
of standard deviation and mean. It is often abbreviated
as CV. Coefficient of variation is the measure of
variability of the data. When the value of coefficient of
variation is higher, it means that the data has high
variability and less stability. When the value of
coefficient of variation is lower, it means the data has
less variability and high stability.
The formula for coefficient of variation is given below:
Coefficient of Variation = Standard Deviation
Mean
45. Question: find the coefficient of variation of 5,
10, 15, 20?
Formula for the mean: x = ∑x
n
x = 50 = 12.5
4
x x−x¯ (x−x )¯ 2
5 -7.5 56.25
10 -2.5 6.25
15 2.5 6.25
20 7.5 56.25
∑x = 50 ∑(x−x )¯ 2 = 125
46. Formula for population standard deviation:
S= √ ∑(x−x¯)2
n
= √125
4
=5.59
Coefficient of variation= standard deviation
mean
= 5.59
12.5
= 0.447