Computations of the variance and standard deviation using grouped data are potentially only approximation of the actual variance and standard deviation.

Question

Quizplus · Accepted Answer

This is because grouped data involves categorizing observations into intervals or categories, which results in loss of some information about the exact values within each interval. This loss in precision can lead to potential inaccuracies in the computation of the variance and standard deviation.

Computations of the Variance and Standard Deviation Using Grouped Data