{"id":244758,"date":"2024-01-18T13:57:01","date_gmt":"2024-01-18T13:57:01","guid":{"rendered":"https:\/\/vmlogger.com\/excel\/?p=244758"},"modified":"2024-01-18T13:57:01","modified_gmt":"2024-01-18T13:57:01","slug":"weighted-average-methods-to-calculate-in-excel-built-in-formula-and-vba","status":"publish","type":"post","link":"https:\/\/vmlogger.com\/excel\/2024\/01\/weighted-average-methods-to-calculate-in-excel-built-in-formula-and-vba\/","title":{"rendered":"Weighted average – Methods to calculate in Excel [Built-in Formula and VBA]"},"content":{"rendered":"

Weighted averages are a powerful tool in data analysis, allowing you to assign different levels of importance or significance to different values within a dataset. This article will help you understanding the concept of weighted averages, explaining their significance and few practical applications. Additionally, we will explore all possible methods for calculating weighted averages in Excel – using VBA code<\/code> and the built-in formulas<\/code>.<\/p>\n

Calculate weighted average using the SUMPRODUCT Function<\/h2>\n

The SUMPRODUCT function is a useful tool that can be employed to calculate a weighted average in Excel. Here’s the basic syntax:<\/p>\n

\r\n=SUMPRODUCT(range1, range2) \/ SUM(range2)\r\n<\/pre>\n
Example:<\/h3>\n
Suppose you have a set of grades for a class, and each grade has a corresponding weight. In cells A2:A5, you have the grades (B, C, A, B), and in cells B2:B5, you have the weights (2, 1, 3, 2). To find the weighted average, you would use the formula:<\/p>\n
\"Weighted
Weighted Average – SUMPRODUCT()<\/p><\/div>\n
\r\n=SUMPRODUCT(A2:A5, B2:B5) \/ SUM(B2:B5)\r\n<\/pre>\n
Using above formula, weighted average<\/strong> is calculated.<\/p>\n
Calculate weighted average using custom VBA Function<\/h2>\n
We’ll explore how to calculate weighted averages using VBA in Excel, providing a detailed step-by-step guide along with examples to demonstrate the process.<\/p>\n
Step 1: Accessing the VBA Editor:<\/h4>\n
Before diving into the code, you need to access the VBA editor in Excel. To do this, press Alt + F11<\/strong> to open the editor. Once inside, you can create a new module by right-clicking on any of the items in the Project Explorer, selecting “Insert,” and then choosing “Module.” You can refer this article to know more about – how to add VBA code in Excel Sheet.<\/a><\/p>\n
Step 2: Writing the VBA Code for calculating Weighted Average<\/h4>\n
Now, let’s create a VBA function that calculates the weighted average. This function code can be used as custom excel formula too. To know more about – how to create custom formulas or user defined function (UDF) in Excel VBA.
\n
\"What
What is UDF?<\/p><\/div><\/a><\/p>\n
\r\nFunction WeightedAverage(rngValues As Range, rngWeights As Range) As Double\r\n    Dim total As Double\r\n    Dim weight As Double\r\n    Dim i As Integer\r\n    For i = 1 To rngValues.Cells.Count\r\n        total = total + rngValues.Cells(i).Value * rngWeights.Cells(i).Value\r\n        weight = weight + rngWeights.Cells(i).Value\r\n    Next i\r\n    If weight <> 0 Then\r\n        WeightedAverage = total \/ weight\r\n    Else\r\n        WeightedAverage = 0\r\n    End If\r\nEnd Function\r\n<\/pre>\n
This function takes two input ranges, one for values and the other for weights. It iterates through each cell, calculates the weighted sum, and then divides it by the sum of weights.<\/p>\n
Step 3: Using the VBA Function in Excel:<\/h4>\n
Once the VBA function is written, you can use it just like any other Excel function. For example, if you have values in column A (A2:A5) and weights in column B (B2:B5), you can use the function in a cell like this:<\/p>\n
\r\n=WeightedAverage(A2:A5, B2:B5)\r\n<\/pre>\n
Your Playground: Excel Workbook<\/h2>\n
Now in the below excel workbook, you can play around with the weighted average calculation.<\/p>\n