Microsoft Excel 2010: Weighted Average Formula
You will consider Microsoft Excel 2010 a blessing, especially when you will have to do loads of calculations and that too in limited time – let alone mention here the accuracy with which the calculations are expected to be done. Had it not been for the different functionalities and tools that are set in this number-based application, life wouldn’t have been so simpler. If you are beginner here, here is a handy tip that you can use. If you had to create or calculate the weighted average in your Microsoft Excel sheet, rather than going it the long way – multiplying the shrinkage, adding the total of the shrinkage and then dividing the result with the currency – you can cut the entire process short by using just this one formula that can help you calculate in just a jiffy.
In this example we are calculating the weighted average price of laptops purchased. To do so:
- Type ‘=SUMPRODUCT(reference to the first cell containing the attribute you want to calculate the average of : reference to the last cell containing the attribute, reference to the first cell containing the number of products : reference to the last cell containing the number) / SUM (reference to the first cell containing the number of products : reference to the last cell containing the number)’ that you want to multiply together.
- Press ‘Enter’ to display the related average.
Isn’t it simple? We told you that you will consider the application a blessing!
To help you better comprehend the process of simplifying the above mentioned formula, we have for you here a short solution video that you can check out. To watch it now, click on the video window below: