Stats 1.4Concept7 parts

Variance, Standard Deviation and IQR

Measure spread, robustly when the data has outliers.

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In this lesson7 parts

  1. 01Similar means, different invoice values
  2. 02Build sample variance from deviations
  3. 03Return to pounds with standard deviation
  4. 04Measure the middle half with quartiles
  5. 05Test one invoice's influence
  6. 06Report what these groups support
  7. 07Reproduce and challenge the calculation

Key terms

The words this lesson introduces, each in one line. The module’s glossary collects them all.

spread
How far observed values extend around a stated center.
deviation
An observed value minus its group's mean.
squared deviation
The square of an observed value minus the group mean.
sample variance
The sum of squared deviations divided by n - 1. Its unit is the original unit squared.
sample standard deviation
The square root of the sample variance, in the original unit.
quartile
A value dividing ordered observations at 25%, 50% or 75% under a stated method (NumPy and pandas interpolate linearly by default).
IQR
The third quartile minus the first quartile: the spread of the middle half.
sensitivity check
Recompute after one stated change and compare the results.

Quiz 5 questions

Your first pick on each question is the one that counts, and a right one earns a coin. Getting one wrong here is how the lesson sticks.

Practice

Problems to solve in your own notebook. Each states the problem, not the steps: working out the steps is the exercise. Level A applies the lesson, B combines it with earlier ones, C stretches it.

The self-checking notebook for this lesson is Invoice centre and spread.

Common mistakes

What you will see when it goes wrong, why it happens, and the fix.

Where it’s used

Where this lesson’s ideas turn up in real work.