Basic Average (Mean)
Average Percentage
Weighted Average
What is an Average?
An average (or mean) is a single value that represents the central tendency of a set of numbers. It's calculated by adding all values together and dividing by the count of values. Averages are fundamental in statistics, finance, education, and everyday decision-making.
Key Formulas
Basic Average: (x₁ + x₂ + ... + xₙ) ÷ n
Percentage Average: (p₁ + p₂ + ... + pₙ) ÷ n
Weighted Average: (w₁x₁ + w₂x₂ + ... + wₙxₙ) ÷ (w₁ + w₂ + ... + wₙ)
x = Values, w = Weights, n = Count
Weighted averages are essential when values have different importance—like calculating GPA (courses have different credit hours) or portfolio returns (investments have different sizes). Always match each value with its correct weight!
Quick Reference
Average Types
Real-World Uses
Average calculations are essential for: calculating grades and GPA, analyzing sales performance, tracking fitness progress, budgeting monthly expenses, evaluating investment returns, and making data-driven decisions in business and personal life.