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What is the variance?

The standard deviation: a way to measure the typical distance that values are from the mean. The variance: the standard deviation squared. Out of these four measures, the variance tends to be the one that is the hardest to understand intuitively. This post aims to provide a simple explanation of the variance.

How to calculate variance in Excel?

The formula for a variance can be derived by summing up the squared deviation of each data point and then dividing the result by the total number of data points in the data set. Mathematically, it is represented as, Xi = i th data point in the data set Let’s take an example to understand the calculation of the Variance in a better manner.

Can variance be calculated from a finite set of observations?

As such, the variance calculated from the finite set will in general not match the variance that would have been calculated from the full population of possible observations. This means that one estimates the mean and variance from a limited set of observations by using an estimator equation.

What is F-test for equality of two variances?

F-Test for Equality of Two Variances Purpose: Test if variances from two populations are equal An F-test (Snedecor and Cochran, 1983) is used to test if the variances of two populations are equal. This test can be a two-tailed test or a one-tailed test.


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