Today we will learn how to calculate weighted average in Excel with percentages.
What is weighted average ?
Weighted average or weighted mean is defined as [from wikipedia],
The weighted mean is similar to an arithmetic mean …, where instead of each of the data points contributing equally to the final average, some data points contribute more than others.
…If all the weights are equal, then the weighted mean is the same as the arithmetic mean.
Why should you calculate weighted average?
Well, it is because, in some situations normal averages give in-correct picture. For eg. assume you are the CEO of ACME Widgets co.. Now you are looking annual salary report and being the numbers-gal you are, you wanted to find-out the average salary of your employees. You asked each department head to give you the average salary of that department to you. Here are the numbers,
Now, the average salary seems to be $ 330,000 [total all of all salaries by 5, (55000+65000+75000+120000+1200000)/5 ].
You are a happy boss to find that your employees are making $330k per year.
Except, you are wrong. You have not considered the number of employees in each department before calculating the average. So, the correct average would be $76k as shown above.
How to Calculate Weighted Average in Excel with Percentages
There is no built-in formula in Excel to calculate weighted averages. However, there is an easy fix to that. You can use SUMPRODUCT formula. By definition, SUMPRODUCT formula takes 2 or more lists of numbers and returns the sum of product of corresponding values. [related: Excel SUMPRODUCT Formula – what is it and how to use it?]
So, if you have values in B4:B8 and the corresponding weights in C4:C8, you can use SUMPRODUCT like this to get weighted average.
=SUMPRODUCT(B4:B8, C4:C8)
Caution: However, the above method works only if C4:C8 contains weights in percentages(%) totaling to 100%.
WAvg Formula Pattern (use this with your data)
=SUMPRODUCT(<your values>, <your weights>)What if my percentage weights don’t add up to 100%?
May be your weights are more than 100 percent. Or may be they are less than 100 percent. In both cases, you can use the below formula variation.
=SUMPRODUCT(B15:B19, C15:C19) / SUM(C15:C19)
The idea is to divide the total of weights with the SUMPRODUCT result so that we can adjust Weighted Average as the weights don’t add up to 100 percent.
WAvg Formula Pattern when weights don’t add up to 100 percent
=SUMPRODUCT(<your values>, <your weights>) / SUM(<your weights>)Weighted Average when you have counts instead of weights:
If you have count of observations instead of weights, you can still use the SUMPRODUCT formula to calculate weighted average in Excel.
Here is the formula for above example:
=SUMPRODUCT(B26:B30, C26:C30) / SUM(C26:C30)
Notice that this formula is same as the formula for weighted average with weights not adding up to 100 percent.
WAvg Formula Pattern when you have counts instead of weights
=SUMPRODUCT(<your values>, <your counts>) / SUM(<your counts>)Weighted Average with Extra Conditions
Let’s say you have city wise observations and weights. And you want to calculate the weighted average, only for Boston values. In this case, you can use a variation of the formula like below:
=SUMPRODUCT((C5:C16)*(B5:B16=F5),D5:D16)/SUMIFS(D5:D16,B5:B16,F5)
How does this formula work?
- SUMPRODUCT calculates the total value for BOSTON by summing up C5:C16 (value column) where B5:B16 is Boston (highlighted portion of the formula) and multiplies that with the counts.
- So in the above example, this will just give us the total of Boston – ie 218,600
- We then divide this with the total count of Boston (using the SUMIFS formula) – ie 400
- This results in the weighted average for Boston values alone – ie 546.50
For more information on how the conditions work inside SUMPRODUCT formula, please read this article.
Download Weighted Average Calculation Example Workbook:
In this workbook, you can find 4 examples on how to to calculate weighted average in excel. Go ahead and download it to understand the formulas better.
Weighted Average in Excel – Formula Explained
Here is a video with Weighted Average formula explained. Please watch it below to learn more. Alternatively, head to my YouTube page to see the weighted averages in Excel video.
In Conclusion
Weighted averages are a great way to explain data and every data analyst should know how and when to use them with their data. Apart from Weighted Average, I suggest learning how to use moving average and average of top n values. These will help you explain the data and trends to your audience better.
Do you use Weighted Mean / Weighted Average?
What do you use it for? What kind of challenges you face? Do you apply any tweaks to weighted average calculations? Please share your ideas / tips using comments.
28 Responses to “2010 Calendar – Excel Template [Downloads]”
[...] Download and print the calendars today. You can add notes to individual dates or complete … [...] Uni Ego / Free 2010 Calendar – Download and Print Year 2010 Calendar today [...]
Any chance on a 2016 calendar?
Afternoon,
I have one similar calander that I added conditional formatting to so that I could highlight any planned factory holidays. I think i "borrowed" the formula from another calander so I won't post it here.
I also added week numbers to it using the formula =WEEKNUM(MAX(C6:I6)) Where C6:I6 is the range of dates in that give week. It works fine on most of the months but return strange values on other months (Week 6 in October?) I can't see any logic behind why it does this.
Any suggestions for an alternative formula to give the week numbers?
Regards,
William
Hi Chandoo,
I've added a new feature on your spreadsheet.
This control can be useful for all the sheets where you need to check dates.
Cheers
http://cid-69a78592a23a8438.skydrive.live.com/self.aspx/.Public/2010-calendar%5E_Miguel.xls
Hi Chandoo,
Nice calendar.
Till now whichever calendar I saw in Excel, it contained only the outline sheet.
Good to see monthly views and the mini view too.
Liked the mini view much. 🙂
-Nimesh
@William: This weeknum may be because the input dates to max are not properly formatting as excel dates.
Good tip on the conditional formatting and holidays btw...
@Migueal: Now that is super awesome. This is the reason why I love to blog. Readers will always one up me with such cool alternatives. Thank you for sharing this with us.
@Nimesh: You are welcome 🙂
is it possible to get the Notes section on the outline page to display the notes added to the month page for a specific date?
So if you add thing for January 2nd, and then select January 2nd those notes appear on the outline page
@Shish... You can do that using some formula magic. I would not recommend pushing excel to that as outlook / google calendar / icalc etc. do exactly that much more elegantly.
[...] Perpetual Excel Calendar – Free Downloadable Template [...]
Happy christmas to all of you!
This is really awesome. The nicest calender I've seen for Excel. I also like Miguels version of the sheet.
Just one "feature" is missing to me. As I live in Germany - where weeks start on Monday - I'd like to change this. Could someone please give me a hint how to do this?
Thanks in advance
Jörg
Hi Chandoo, I’ve added some new features on your spreadsheet with your permission.
Check it here:
http://cid-6b219f16da7128e3.skydrive.live.com/self.aspx/.Public/Calendar%5E_Pedro.xlsm
Miguel, this calendar is translated to Spanish language.
Jörg, this new approach allows us to start weeks on Monday.
Also it's possible to start weeks on Sunday if you enable Excel macros and push the arrows.
Best Regards,
Pedro.
@Pedro.. superb stuff.. thanks for sharing the file with all of us.
Hi Chandoo, for dates before March 1, 1900 our calendars are wrong.
In Microsoft Excel, DATE, EOMONTH, WEEKDAY functions return an incorrect result between Monday, January 1, 1900 and Wednesday, February 28, 1900.
See this page: http://support.microsoft.com/kb/214326/en-us/
Microsoft Excel incorrectly assumes that the year 1900 is a leap year in all Excel versions.
That's the reason why our calendar versions only work from March, 1, 1900 until December, 31, 9999.
Your comments are welcome.
Pedro.
@Pedro.. Thanks for pointing that out. wow... This reminds me of the Joel Spolsky's first BillG review - http://www.joelonsoftware.com/items/2006/06/16.html (read it, I am sure you would love it.) when Bill out of blue asks about date time implementations for VBA (which Joel is the program manager for...)
Thanks for sharing the URL too... Here is a specially made, chocolate sprinkled, extra fluffy donut for you 🙂
Hi Chandoo, thanks a lot for the donut but I prefer it without chocolate!
Always it's good to know a little history of Excel.
The Joel Spolsky’s last BillG Excel review was about the "Hall of Tortured Souls"
(See this Excel 95 Easter Egg here: http://www.eeggs.com/items/719.html)
Do not miss the humor!
@Chandoo.. I just return with a new calendar version.
http://cid-6b219f16da7128e3.skydrive.live.com/self.aspx/.Public/calendar-pedrowave.xltx
It helped me to practice conditional formatting, formulas to show check boxes, data validation drop down list, find out Thanksgiving Day's date for any year, how to find dates of public holidays using Excel, all reading your wonderful posts!
Perpetual Calendar Spanish version starting weeks on Monday:
http://cid-6b219f16da7128e3.skydrive.live.com/self.aspx/.Public/calendario-pedrowave.xltx
Main characteristics:
- Not macros.
- Select a year from 1900 to 9999 with a dropdown listbox.
- All date fields with the real date format.
- Easy language change of day of the week and month names because are also dates.
- Hide Saturdays and/or Sundays.
- Week starting on Sunday or Monday.
- Week and month numbers.
- Hyperlink between sheets.
- Consistent colors to Holidays, Diary and Events dates.
- Easy change of Holidays by country.
- Include 80 World Days and you can add more.
- A diary with my birthday and 50 more programable appointments.
- Check box to hide individual dates or all.
- Holidays, diary and events text are showed on each month's sheet.
- Ranges defined with Name Manager variables.
I'll appreciate if you make me some suggestions to improve this calendar.
Pedro.
Please, I need help!
I like all calendar from Pedro, thank you for them. Let me show my problem:
I have 2 excel cells (for example AE12 and AE13) which mean the starting and the ending date of my duty. I need a macro to insert sheets with label YEAR. MONTH (for example 2010. August or similar) with the proper datas between the two dates. Is it possible?
Thank you for reading me and sorry about my terribel english! 🙂
Hello Pedro,
Thanks so much for the modified calendar template. I love the extra functionality you added. Is there any way you could upload an unlocked version? I wanted to change some of the comments and data validation so I could use it for one of my applications.
As for feedback on potential improvements, with all the additions you made the file runs pretty slow. I'm sure this has to do with all the interconnectivity between the various tabs, but if there is a way to use less memory via more efficient formulas or something else I think this would make it easier to use. I have a brand new computer and with it running alone the response was pretty slow. One of the changes I'm making is changing the order of the months to match my company's fiscal year, so maybe something to automate a change like that could be useful.
Cheers,
Peter
Peter, my calendars are unlocked but you need Excel 2007 and 2010 versions to open them.
Now I return with a new Programmable Task Calendar:
http://cid-6b219f16da7128e3.office.live.com/view.aspx/.Public/Calendario%20de%20Tareas.xlsx
Wath an introductory video here:
http://pedrowave.blogspot.com/2010/10/programmable-task-calendar.html
This new calendar allows to select the start month to match the school and fiscal year.
This is great stuff Chandoo and company
Wanted to know if someone had built something similar
I need to store one Excel Sheet on this calendar that has all the holidays
US Holidays appear in RED
UK Holidays appear in Blue
Meetings appear in Green
Submissions appear in Orange
Is there a way I can store the list in a separate worksheet and all the calendars get updated with this?
Thanks
[...] Calendars: Year 2010 Excel Calendar | Year 2009 Excel [...]
please tell me "how to convert Rs.10000/- in to words through excel formula
[...] is all! http://chandoo.org/wp/2009/12/11/2010-calendar-excel-template-downloads/ See more Templates at http://www.vertex42.com/ Share this:Like this:LikeBe the first to like this [...]
Greetings,
Thanks for this wonderful excel vacation tracker. I notice that the tracker only has three months November, December and January 2015, however, I would like to add the other ten months for 2014. Can you please instruct me on how I can add the other months?
Thanking you in advance.
Hi Chandoo,
Calendar: can this be printed as single sheet 8.5x11 inch per month
kanu
@Kanu
Yes,
You can resize it to fit
WOW! I just searching some of like this, that help me.
Thank you for sharing.