# How to calculate P value in Excel

If you need to calculate the P-value in Excel to test hypotheses, you can easily calculate the P-value by following certain instructions. This shows you whether the null hypothesis is strongly or weakly supported. So let’s learn how to find P value in Excel.

A p-value is part of the statistic, and it is the probability that the null hypothesis indicates that a particular experimental result will occur. A null hypothesis is that the theory being tested is false, while an alternative hypothesis is that the two variables are statistically significant. The “P” in the “P-value” stands for probability. It ranges from 0 to 1. If a P-value is less than 0.05 (≤ 0.05), there is statistical significance. However, if a p-value is greater than 0.05 (> 0.05), there is no statistical significance.

Although the fields that require a P-value calculation expand daily, the P-value calculation is an operation that generally occurs when writing an academic paper. It is basically used to test hypotheses.

## Calculation of the correlation

First, you need to calculate the difference between your variables. As you know, spreadsheets have columns and rows. For example, suppose your variables are listed in columns A and B, and their range is from rows 1 to 10.

• Look at the rows. You see your variables.
• Subtract one variable from the other.
• Then you need to do this calculation for each row.
• To do this calculation automatically, set the “Formula” to “A1-B1” and you will see the output.
• The number that appears means the subtraction is complete and you can see the difference.
• To apply it to the rest of the data, drag the “Formula” onto the rest of the cells.

## Find the P value

After you’ve calculated the difference between your variables, it’s time to calculate the P-value.

• Go to the “Data” tab. It’s at the top of the screen.
• When you click the Data tab, a ribbon opens.
• In the top right, click Data Analysis.
• A window will open. Scroll down and find “t-Test: Paired Two Sample for Means”. Click on it and choose OK. Another window will open.
• Choose “Variable 1 Range” as your A column (the minuend).
• Choose “Variable 2 Range” as your B column (the subtrahend).
• The “alpha” means alpha value. It’s located at the bottom and it defaults to 0.05 as the most common significance levels are 0.05 and 0.01. You can keep it as 0.05
• You will see that the “Output Range” is listed under “Output Options”. Select the “Output area” and write in which cell you want to display the analysis results.
• Click the OK button”. You will see the analysis results in the cell you just wrote.
• Compare “P (T <= t) one-sided" and "P (T <= t) two-sided".
• Focus on the “P (T <= t) one-tail". If the P value is greater than the alpha value, which is 0.05 here, then the null hypothesis is true.

## FAQ on calculating the P-value in Excel

What should the range of the P-value be?

0.05 is considered the limit of statistical significance.

What is the null hypothesis?

It indicates that the theory you are testing is wrong. therefore wrong.

What does the alternative hypothesis mean?

This means that there is statistical significance between the two variables.

What should the alpha value be?

It’s the default setting of 0.05, but you can change it to 0.01. This depends on the significance you want.

How can I understand that the null hypothesis is true?

By looking at the “P (T <= t) one-tail". If it is higher than the alpha value, the null hypothesis is true.

## Conclusion on calculating the P value in Excel

In this article, we have explained how to find P value in Excel. In short, the P-value qualifies the evidence. When testing a hypothesis, this function of the p-value can help evaluate the support or argument. Remember that the lower your P-value, the higher the probability that the hypothesis is true. If that’s enough to keep you interested, then you should look at another popular and useful formula, which is the standard deviation.

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