COVARIANCE.P function in excel is a statistical function. This function is used to find the variability of two data sets which are co-variant to each other. For example if we needs to find whether greater levels of inflation leads to greater levels of inflation, than we can use excel function. This is a worksheet function and can be entered into the cell in which count is required.
Array1: 1st range of cells.
Array2: 2nd range of cells.
- The arguments used should be numbers or range of cells containing numbers
- If the range of cells contains text values, logical values, or empty cells than they are ignored but cells containing 0 are used.
- If the arguments contain different set of data points than #N/A error is displayed.
- If any of the argument is empty, #DIV/0! Error is displayed.
- The covariance formula is:
In this example, various values are entered in Column B and Column C and Column D, and COVARIANCE.P function is used to find co-variance between values in column C and D which gives 0.0008 as the result.