variance

Definition 1

A measure of the average distance between each of a set of data points and their mean value; equal to the sum of the squares of the deviation from the mean value.

Definition 2

In accounting, the difference between the actual cost and the standard cost for direct material, labor and overhead.

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Related terms:

covariance, Treynor Index, Sortino ratio

'variance' appears in the definitions of these other terms on BusinessDictionary.com:



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