Confidence interval: what it means and how to read it

In the report: Confidence interval — The confidence interval of the estimate: its level and its two bounds.

In plain words

A shop owner looked at 60 orders and found that the average order was 40 dollars. But she did not know whether the average of all her orders, past and future, is really 40. The confidence interval section gave her the level, 95 percent, and two bounds, 36 and 44. Now she can say that the usual order over all her customers is probably somewhere between 36 and 44 dollars. A plan that needs 50 dollars per order would be a stretch, and a plan that needs 38 looks safe.

Example

The cell with Confidence interval is selected in each report; point at a label to see its note.

  • — the sample data (50 rows) the examples use
  • — =STATS_SPEARMAN(Data!A1:T51, "x,y",0.95,"two-sided")
  • — x1 and x2 with age held constant =STATS_PARTIAL(Data!A1:T51, "x1,x2", "age")
  • — =STATS_PAIRED(Data!A1:T51, "before,after",0.95,"two-sided")

Where you see it

Get it in your sheet

One formula in a cell gives the whole report, Confidence interval included. ALS Stats is a free add-on for Google Sheets™.

Install ALS Stats from Google Workspace Marketplace (opens in a new tab)