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Algebra Data and statistics

Standard deviation and variance

20 practice questions 2 video lessons Theory + worked examples
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Practice questions

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  • The Standard Deviation (and Variance) Explained in One Minute: From Concept to Definition & Formulas Watch
  • How to calculate Standard Deviation and Variance Watch
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Theory

Standard deviation measures how spread out data are around the mean:
  1. Find the mean.
  2. Square each deviation \(x-\bar x\).
  3. Variance is the mean of those squares.
  4. Standard deviation \(\sigma\) is its square root.
Small SD: clustered; large SD: spread out.
Standard deviation Standard deviation is small for tight data and large for spread data. small SD large SD standard deviation measures spread
Small vs large standard deviation.
Standard deviation Standard deviation Standard deviation variance = mean of squared deviations Οƒ = √(variance) same units as the data
Variance and standard deviation.

Variance and standard deviation:

\[\sigma^2=\dfrac{\sum(x-\bar x)^2}{n},\qquad \sigma=\sqrt{\sigma^2}\]
variance is the mean of squared deviations; standard deviation is its square root
SD has the same units as the data.

How to find standard deviation

  1. Compute the mean.
  2. Square each deviation.
  3. Average them (variance).
  4. Take the square root.
Example 1 β€” Mean
Find the mean of \(2,4,6,8,10\).
Solution

Add and divide.

\(\bar x\)\(=\)\(6\)
the mean is 6
Example 2 β€” Variance
Find the variance of \(2,4,6,8,10\).
Solution

Average the squared deviations from \(6\).

\(\dfrac{16+4+0+4+16}{5}\)\(=\)\(8\)
the variance is 8
Example 3 β€” Standard deviation
Find the standard deviation.
Solution

Take the square root of the variance.

\(\sigma\)\(=\)\(\sqrt8\approx2.83\)
about 2.83
Example 4 β€” Compare spread
Which has a larger SD: tightly clustered or widely spread data?
Solution

Widely spread data have the larger standard deviation.

the widely spread data

Common pitfalls

Square the deviations before averaging.
SD is the root of the variance.
SD keeps the data's units; variance is squared units.

Frequently asked questions

What is standard deviation?

A measure of spread around the mean.

What is variance?

The mean of the squared deviations.

How are they related?

SD is the square root of the variance.

What does a large SD mean?

The data are widely spread.