Standard Deviation

Standard deviation measures how spread out the numbers are in a dataset.
  • Low standard deviation → The numbers are close to the average (less variation).
  • High standard deviation → The numbers are far from the average (more variation).

Example:

Low Standard Deviation (Less Spread)

📊 Numbers: 48, 50, 52

  • The average (mean) is 50
  • All numbers are close to 50
  • Standard deviation is small

High Standard Deviation (More Spread)

📊 Numbers: 10, 50, 90

  • The average (mean) is still 50
  • But the numbers spread far apart
  • Standard deviation is large

Why is it Important?

  • Helps understand if data is consistent or fluctuating.
  • Used in finance, science, and AI to measure risk or uncertainty.

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