DEPARTMENT OF TECHNICAL EDUCATION

ANDHRA PRADESH
Name : A.KRISHNA KUMAR
Designation : Sr. Lecturer

Branch : Commercial & Computer

Practice
Institute : GPW ,Suryapet, Nalgonda dist.
Year/Semester : III Semester
Subject : Quantitative Techniques-1
Subject Code : CCP-303
Topic : Standard Deviation
Duration : 50 min.
Sub Topic : Coefficient of Variation and
Variance
Teaching Aids : PPT.

CCP.303.65 1
Objectives

On the completion of the period, you would be

able to :

 Understand Coefficient of Variation

 Calculate Coefficient of Variation
 Calculate Variance

CCP.303.65 2
Recap
FORMULA OF SD

 x 2

N
Where ∑x2 = Sum of the squares of the deviations taken

from AM
N = Number of items

CCP.303.65 3
Recap

SD – ASSUMED MEAN - FORMULA

σ = √ ∑d2 / N – ( ∑d / N ) 2

Where ∑d2 = Total of squares of deviation from

assumed mean
∑d = Total of deviations from assumed mean.
N = Total number of items

CCP.303.65 4
Co-efficient of Variation – Definition:

Co-efficient of variation is “the percentage variation in the

Mean, the Standard Deviation being treated as the total
variation in the Mean”

—Prof.Karl Pearson

CCP.303.65 5
Co-efficient of Variation - Importance

 SD - an absolute measure of dispersion.

 It is expressed in terms of units in which the

original figures are collected and stated.

 Eg: heights and weights of students given in feet &

inches and pounds.

 SD given in different measures incomparable.

CCP.303.65 6
Co-efficient of Variation - Importance

 Convert data given different measures to make it

relative measure of dispersion for comparison.

 For this, calculation of Co-efficient of Variation (CV)

necessary

 CV = SD / AM

CCP.303.65 7
FORMULA

S tan dard Deviation

C.V  X 100
Mean

CCP.303.65 8
Example 1

Calculate Co-efficient of Variation from the following

Standard Deviation = 148.2,
Arithmetic Mean = 919.167

Example 2
Calculate Co-efficient of Variation from the following

If X  49 &   37.06

CCP.303.65 9
Solution 1

S tan dard Deviation

1) C.V  X 100
Mean
148.2
 X 100
919.167

Solution 2

2) C.V  X 100
X
37.06
 X 100  75.63
49
CCP.303.65 10
VARIANCE - MEANING &
IMPORTANCE
 The variance is also called Mean Square Deviation.
 Variance is also called the Second Moment as the
deviations are raised to the second power.
 So the variance is symbolically expressed σ2

CCP.303.65 11
Formula

 Variance = σ2 (Standard deviation square)

Example 3:
From the following data, calculate Variance, if SD = 9

Solution: Variance = σ2 (Standard Deviation square)

σ =9
Variance = 92

= 81

CCP.303.65 12
Summary

Coefficient of
SD
Variation  X 100
Mean

Variance   2

CCP.303.65 13
 Quiz

1. What is the formula of Coefficient of

Variation?

S tan dard Deviataions

Ans : C.V  X 100
Mean

CCP.303.65 14
 Quiz

2. What is the formula of Variance?

Ans: SD2 (or) σ2.

CCP.303.65 15
Frequently Asked Questions

1. In a given distribution AM = 20,

standard derivation =4.56, what is coefficient of
variation ?

2. From the data given below, state which series is more

variable
Series A : X = 42.14, σ = 14

Series B : X = 37.86, σ = 14.1

CCP.303.65 16
Assignment
1. For a series, AM is 68 and SD is 3. Find out CV?

2. In a distribution, AM is 65 and SD is 2. What is its

CV?

CCP.303.65 17