Confidence Interval with Known Variance – Excel Template

Ned Krastev
Ned Krastev

Calculating a confidence interval allows us to get an idea about the possible range of realizations of a random variable with a reasonable degree of certainty. If the population variance is known, the population mean will fall between the sample mean minus z of, alpha divided by 2, times the standard error, and, the sample mean plus z of, alpha divided by 2, times the standard error. If you’re a sales executive, you might want to calculate a range for your sales next quarter with 95% certainty.

This open-access Excel template is a great tool for statisticians, business intelligence analysts, data scientists, portfolio managers, risk managers, and anyone studying finance. If you are looking to learn fundamental statistical principles, our comprehensive Statistics course is the ideal choice for you.

Some other open-access resources you may consider are—Variance and Standard Deviation, Confidence Interval with Unknown Variance, and Standard Normal Distribution.