discussion question 715

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Standard Deviation the basic dispersion measure and is a very common data analysis parameter which shows variation in the data. The basic rule of thumb based on Standard Deviation is that an outlier is any point beyond 3 Standard Deviation of either side of the mean.

Class: There is a subtle difference between the sample and population variation (or standard deviation). How come that with sample we have to divide by N-1 instead of N? Can somebody explain in layman’s term with an example?

For a sample the function in Excel is STDEV and for a population, it is STDEVP

Otherwise, just go to Data Analysis under Tools in Excel and do a Descriptive Statistics on the sample or population data.

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