Definition of the Coefficient of Variation

The Coefficient of Variation (CV) of the mean, a measurement of variability of the mean price, is calculated as the standard error divided by the mean. As a measure of precision reflecting the error due to sampling, it can also be used to construct a confidence interval for the population mean. For example, a mean price of $1.67 and a CV of 0.004 (.4%) indicates at the 95% confidence level that the population mean price has an upper limit of $1.68 ($1.67 + 1.96*0.004*$1.67) and a lower limit of $1.66 ($1.67 - 1.96*0.004*$1.67).

On-Highway Diesel Fuel Prices & Coefficients of Variation Report