Ba Explaination
Ba Explaination
2. Variance
Variance tells how spread out the data is from the mean. It’s the average squared difference
from the mean.
Formula:
Variance=∑(Xi−Xˉ)2n\text{Variance} = \frac{\sum (X_i - \bar{X})^2}{n}Variance=n∑(Xi−Xˉ)2
Example:
For the data points 2, 4, 6:
Mean = 4
Variance = [(2-4)² + (4-4)² + (6-4)²] / 3 = 8/3 ≈ 2.67
3. Pooled Variance
Pooled variance is the weighted average of the variances from two or more groups. It’s used in
independent samples t-tests to assume equal variances across groups.
Formula:
Sp2=(n1−1)S12+(n2−1)S22n1+n2−2S_p^2 = \frac{(n_1 - 1)S_1^2 + (n_2 - 1)S_2^2}{n_1 + n_2
- 2}Sp2=n1+n2−2(n1−1)S12+(n2−1)S22
Example:
If group 1 (n=10) has variance 4, and group 2 (n=12) has variance 6, the pooled variance would
average the two, weighted by their sample sizes.
9. F-Statistic (F)
The F-statistic compares two variances to see if they are significantly different. It's used in
ANOVA and regression analysis.
Formula:
F=MSbetweenMSwithinF = \frac{MS_{between}}{MS_{within}}F=MSwithinMSbetween
Example:
In ANOVA, if the F-value is higher than the F-critical value, the group means differ significantly.
10. P-Value
The P-value measures the probability of observing your result under the null hypothesis. A P-
value < 0.05 usually indicates statistical significance.
Example:
In a t-test, if the P-value is 0.03, you reject the null hypothesis, concluding that the difference is
statistically significant.
11. F-Critical
F-critical is the cutoff value from the F-distribution table. If the F-value exceeds this, the null
hypothesis is rejected.
Example:
In an ANOVA with α = 0.05 and DF1 = 2, DF2 = 27, the F-critical value might be 3.35.
16. Regression
Regression analysis estimates the relationship between variables. It predicts the dependent
variable based on the independent variables.
Example:
A regression model predicts house prices based on area, location, and number of bedrooms.
18. Residual
A residual is the difference between the observed value and the predicted value in
regression.
Example:
If the observed value is 10 and the predicted value is 8, the residual is 2.
20. Cumulative %
Cumulative percentage sums the percentages of multiple items up to a certain point.
Example:
In a Pareto chart, cumulative % helps visualize how much of the total effect is explained by the
top factors.