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Standard Deviation

A measure of the spread or dispersion of a data set from its mean (average).

Standard deviation (Οƒ) quantifies how spread out data points are from the average. A low standard deviation means data points cluster near the mean; a high standard deviation means they are spread out.

Steps to Calculate

  1. Find the mean (average)
  2. Subtract the mean from each data point and square the result
  3. Average those squared differences (variance)
  4. Take the square root of the variance

Example

Data: 4, 8, 6, 5, 3. Mean = 5.2. Squared differences: 1.44, 7.84, 0.64, 0.04, 4.84. Variance = 2.96. SD = √2.96 = 1.72.

The 68-95-99.7 Rule

In a normal distribution: 68% of data falls within 1 SD, 95% within 2 SD, 99.7% within 3 SD of the mean.

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