Statistics - The 95% Confidence Interval

The calculations are pretty simple as long as you have all the necessary components. Like always, thanks for reading and message me if you have any questions.

In the field of Statistics, there are several popular concepts that one must know in order to be considered a Data Scientist. The concept I will be discussing today is known as the 95 % Confidence Interval. In general, a confidence interval is a range of values that you can be certain (measured by percentage), contains the True Means of the population.

Therefore, the 95% confidence interval states that you can be 95% confident that the true mean of the ALL possible observations that you can measure (not just your sample size), lie within 2 Standard deviations of your sample mean. Ergo, there will still be a 5% chance that it does not lie within 2 std. deviations of a normal distribution (See graph above).

I found a very simple explanation on calculating intervals from Mathisfun.com (See Left):