Variance MCQs Class 11
Variance – MCQs with Answers & Explanations
Class: 11 | Subject: Economics (Statistics for Economics)
Section: Measures of Dispersion
Topic: Variance
Based on CBSE Board Examination Pattern
Section: Measures of Dispersion
Topic: Variance
Based on CBSE Board Examination Pattern
Instructions: These Multiple Choice Questions (MCQs) are designed strictly as per the NCERT syllabus, making them ideal for CBSE Class 11 Board Exam preparation.
1. Variance measures:
Answer: B
Variance is a measure of dispersion that shows how far observations spread around the mean.
Variance is a measure of dispersion that shows how far observations spread around the mean.
2. Variance is the square of:
Answer: C
Variance = (Standard Deviation)².
Variance = (Standard Deviation)².
3. Symbol of Variance:
Answer: A
Variance is denoted by sigma square (σ²).
Variance is denoted by sigma square (σ²).
4. Variance is based on deviations from:
Answer: B
All squared deviations are calculated from the arithmetic mean.
All squared deviations are calculated from the arithmetic mean.
5. Formula (Individual Series):
Answer: A
Variance equals mean of squared deviations.
Variance equals mean of squared deviations.
6. Squaring deviations removes:
Answer: B
Negative signs disappear after squaring.
Negative signs disappear after squaring.
7. Variance considers:
Answer: A
Every data value contributes to variance.
Every data value contributes to variance.
8. Variance is always:
Answer: B
Squared deviations cannot be negative.
Squared deviations cannot be negative.
9. If all observations are equal, variance =
Answer: C
No deviation → variance is zero.
No deviation → variance is zero.
10. Variance is expressed in:
Answer: B
Because deviations are squared, units are also squared.
Because deviations are squared, units are also squared.
11. Variance is useful in:
Answer: D
Variance measures variability in many economic contexts.
Variance measures variability in many economic contexts.
12. Larger variance indicates:
Answer: B
Greater variance → data widely scattered.
Greater variance → data widely scattered.
13. Variance is minimum when deviations are from:
Answer: C
Sum of squared deviations is minimum from mean.
Sum of squared deviations is minimum from mean.
14. Variance is a:
Answer: B
It is expressed in actual squared units.
It is expressed in actual squared units.
15. Step-deviation method reduces:
Answer: A
It simplifies large calculations.
It simplifies large calculations.
16. Variance is affected by:
Answer: A
Outliers increase squared deviations.
Outliers increase squared deviations.
17. Relationship: SD =
Answer: A
Standard Deviation is square root of variance.
Standard Deviation is square root of variance.
18. Lower variance indicates:
Answer: A
Values are closely clustered.
Values are closely clustered.
19. Variance is most closely related to:
Answer: A
All deviations are measured from mean.
All deviations are measured from mean.
20. Variance helps in comparing:
Answer: D
It evaluates spread, stability, and consistency of data.
It evaluates spread, stability, and consistency of data.