Definitions (2)
Related Terms
1. The difference between an expected and actual result, such as between a budget and actual expenditure.
2. Statistics: The arithmetic mean of the squares of the deviations of all values in a set of numbers from their arithmetic mean. Variance and its square root (the standard deviation) are of fundamental importance as a measure of dispersion.

Use 'variance' in a Sentence

There was a lot of variance in our budget this year, so we will have to cut back on the number of yacht trips that we take.
28 people found this helpful
There is a large variance between what the company predicted it was going to make and what the company actually made.
25 people found this helpful