Technology

Fastest Way to Calculate Sample Variance Using the Var Function in Excel

The Var function in Excel is a familiar function that is commonly used in problem-solving. Var function in Excel is an estimation function of variance based on the given sample. If you are not familiar with or have not used this calculation function proficiently yet, let's follow along this article to learn how to do it!

Administrator

27 January, 2024

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Variance is a statistical quantity that measures the dispersion of data. To calculate variance in Excel, the Var function is used to provide a more precise decision in data analysis. In today’s article, let’s explore the Var function and how to use it in Excel.

What is the Var function and its applications in Excel

Perhaps we are no strangers to the Var function in Excel. However, do you truly understand the essence and applications of this computational function? If you have forgotten, let’s go through some information below.

What is the Var function?

The Var function is known as a mathematical function used to calculate variance based on a given sample. In simple terms, it estimates the population variance of data in Excel using the Var function or related functions. The Var function assumes a text value of 0, a logical value of TRUE and FALSE as 1 and 0, respectively.

A larger variance indicates that the numbers in the data set are far from the mean and have a large fluctuation. A smaller variance means that the numbers in the data set are close to the mean and have a smaller fluctuation. A variance of 0 indicates that all values in the data set are identical and have no error, while any non-zero variance is positive.

Applications of the Var function in Excel

Excel functions greatly support office work, and the Var function is one of them. It helps simplify and lighten the calculation process. You can use the Var function to quickly and accurately calculate the variance of a data set. Additionally, you can combine the Var function with other functions in Excel to further aid your work. Mastering these computational functions will make you more proficient in using Excel professionally.

How to quickly and effectively use the Var function in Excel

Using the Var function in Excel is quite simple. You just need to understand the function syntax and some notes to be able to use this computational function proficiently. Here is the syntax and notes for using the Var function in Excel:

Var function syntax

The syntax of the Var function is: =VAR(number1,[number2],…). In this function, number1 is the first argument corresponding to the first number in a set. Number2,… are arguments in the form of numbers from 2 to 255, corresponding to samples of a given set. When using the Var function, you need to keep in mind the following:

The VAR function assumes that the arguments are a sample of a population. If your data represents the entire population, you need to use the VARP function to calculate the variance.
The Var function’s arguments can be numbers, names, arrays, or references that contain numbers.
If the argument is an array or reference, only the number values in that array or reference can be calculated. Blank cells, text, logical values, or error values in the array or reference will be ignored.
Logical values or textual representations of numbers that are directly typed into the argument list will also be counted.
Text values or error values that cannot be converted into numbers will cause errors in the calculation.
If you want to include logical values or textual representations of numbers in a reference as part of the calculation, you need to use the VARA function.

How to use the Var function in Excel

To find the variance of a calculation, you simply enter the corresponding Var function syntax for the given problem. After entering, press Enter and the result will be displayed. Therefore, accurately entering the Var function syntax is crucial, as the correctness of the result depends heavily on your input.

Examples of using the Var function in Excel

For a series of numbers from B2 – B10 corresponding to 58.41, 33.63, 18.46, 53.34, 82.84, 95.58, 50.01, 90.27, 57.46, calculate the variance of this series. Manual calculation would be time-consuming and the result may not be accurate. However, when using the Var function in Excel, you simply need to perform one simple step: =VAR(B2:B10), then press Enter, and you will get the result as 659.74.

In practice, the Var function is not widely used, so Excel has replaced it with similar functions such as VAR.S to obtain the variance of data. You can flexibly apply different functions according to specific situations to achieve the fastest results.

Conclusion

In general, through this article, you have gained a more detailed understanding of the Var function and learned how to use it in Excel. We hope that this article has helped you excel in studying and working with Excel. Mastering the Var function and other functions will make you more professional in using Excel.