How to use the Excel CONFIDENCE function?
Enough with all the talk. Let’s come to the point – how do you use the CONFIDENCE Function?
The process is pretty simple and straightforward. All you need to do is enter the arguments, get the confidence value statistic, and it’s done. Simple, no? 😀
Let’s see it using the data set below.
We have to find the confidence interval of the total staff of a small jewelry store over the years.
We have the values. Now, let’s find the average value of staff hired over the years.
- Type in the AVERAGE function beneath the values and select the cell references.
And there’s the average. Let’s move toward the standard deviation now.
- Type in the formula.
- Select the values.
We have the standard deviation value too.
Let’s assume that our confidence value is 95%, so our Alpha value will be 0.05. Add that to the Excel worksheet.
Add in the other values for calculating the confidence interval.
Let’s now type in the formula.
=CONFIDENCE(B2, B4, B5)
And we got the confidence value. Now, let’s find the confidence interval.
All we need to do is write the average and confidence values together after rounding them off. The confidence interval of our data set is: