Calculating Standard Deviation
Calculating Standard Deviation
Standard deviation measures how far results spread from the average value. You can find the
standard deviation by finding the square root of the variance, and then squaring the differences
from the mean. If you’re wondering, “What is the formula for standard deviation?” it looks like
this:
2 + 1 +3 + 2 + 4 = 12
12 ÷ 5 = 2.4 (mean)
Here are some examples of situations that demonstrate how standard deviation is used.
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Grading Tests
A class of students took a math test. Their teacher wants to know whether most students are
performing at the same level, or if there is a high standard deviation.
1. The scores for the test were 85, 86, 100, 76, 81, 93, 84, 99, 71, 69, 93, 85, 81, 87, and 89.
When the teacher adds them together, she gets 1279. She divides by the number of scores (15) to
get the mean score.
1279 ÷ 15 =85.2 (mean)
2. 85.2 is a high score, but is everyone performing at that level? To find out, the teacher subtracts
the mean from every test score.
85 - 85.2 = -0.2
86 - 85.2 = 0.8
100 - 85.2 = 14.8
76 - 85.2 = -9.2
81 - 85.2 = -4.2
93 - 85.2 = 7.8
84 - 85.2 = -1.2
99 - 85.2 = 13.8
71 - 85.2 = -14.2
69 - 85.2 = -16.2
93 - 85.2 = 7.8
85 - 85.2 = -0.2
81 - 85.2 = -4.2
87 - 85.2 = 1.8
89 - 85.2 = 3.8
4. The teacher finds the variance, which is the average of the squares:
0.04 + 0.64 + 219.04 + 84.64 + 17.64 + 60.84 +1.44 +190.44 +201.64 +262.44 + 60.84 + 0.04 +
17.64 + 3.24 + 14.44 = 1135
The standard deviation of these tests is 8.7 points out of 100. Since the variance is somewhat
low, the teacher knows that most students are performing around the same level.
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Results of a Survey
A market researcher is analyzing the results of a recent customer survey that ranks a product
from 1 to 10. He wants to have some measure of the reliability of the answers received in the
survey in order to predict how a larger group of people might answer the same questions.
Because this is a sample size, the researcher needs to subtract 1 from the total number of values
in step 4.
1. The scores for the survey are 9, 7, 10, 8, 9, 7, 8, and 9. The mean is 8.4.
2. The researcher subtracts the mean from every score (differences: 0.6, -1.4, 1.6, -0.4, 0.6, -1.4, -
0.4, 0.6).
3. He squares each number (0.36, 1.96, 2.56, 0.16, 0.36, 1.96, 0.16, 0.36).
4. Because this is a sample of responses, the researcher subtracts one from the number of values
(8 values -1 = 7) to average squares and find the variance: 1.12 (variance)
5. Last, the researcher finds the square root of the variance: 1.06 (standard deviation)
The standard deviation is 1.06, which is somewhat low. The researcher now knows that the
results of the sample size are probably reliable.
Weather Forecasting
You can also use standard deviation to compare two sets of data. For example, a weather reporter
is analyzing the high temperature forecasted for two different cities. A low standard deviation
would show a reliable weather forecast.
1. The reporter compares a week of high temperatures (in Fahrenheit) in two different seasons.
The data looks like this:
City A City B
2.
Forecast Forecast
Monday 95 90
Tuesday 93 81
Wednesda
95 95
y
Thursday 94 91
Friday 96 86
Saturday 94 82
Sunday 95 78
The mean temperature for City A is 94.6 degrees, and the mean for City B is 86.1 degrees.
1. The reporter subtracts City A’s mean from every City A temperature (differences: 0.4, -1.6,
0.4, -0.6, 1.4, -0.6, 0.4).
2. He squares each number (0.16, 2.56, 0.16, 0.36, 1.96, 0.36, 0.16).
3. He averages the squares and finds the variance: 0.8 (variance)
4. The reporter finds the square root of the variance for City A: 0.89 (standard deviation).
5. Next, the reporter subtracts City B’s mean from its temperatures (3.9, -5.1, 8.9, 4.9, -0.1, -4.1, -
8.1)
6. He squares them (15.21, 26.01, 79.21, 24.01, 0.01, 16.81, 65.61).
7. The average of these squares is 32.41 (variance).
8. The square root is 5.7 (standard deviation).
9. City A’s standard deviation is 0.89 degrees, while City B’s standard deviation is 5.7 degrees.
City A’s forecasts are more reliable than City B’s forecasts.
Now you see how standard deviation works. Even if you usually perform standard deviation
equations on a calculator or spreadsheet formula, it’s good to see how the math works step by
step.
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