In the context of statistics, what does 'variance' measure?

₹0.0

Question: In the context of statistics, what does \'variance\' measure?

Options:

Correct Answer: The spread of a data set around its mean

Solution:

Variance measures the spread of a data set around its mean, indicating how much the values differ from the average.

In the context of statistics, what does 'variance' measure?

In the context of statistics, what does 'variance' measure?

Step 1: Understand that variance is a statistical term used to describe how data points in a set differ from each other.
Step 2: Recognize that the 'mean' is the average of all the data points in the set.
Step 3: Realize that variance looks at how far each data point is from the mean.
Step 4: Know that if the data points are close to the mean, the variance is small, indicating less spread.
Step 5: Conversely, if the data points are spread out far from the mean, the variance is large, indicating more spread.

Variance – Variance measures the spread of a data set around its mean, indicating how much the values differ from the average.