Weighted mean is an average where each value has a different weight or importance. Formula: W = Σ(wᵢ × xᵢ) / Σ(wᵢ). Weights reflect the relative importance of each value.
When should I use weighted mean?▼
Use weighted mean when different data points have different importance. Examples: course grades with different credit hours, survey responses with different sample sizes, portfolio returns with different allocations.
Can weights be negative?▼
Weights are typically non-negative, representing importance or proportion. Negative weights would represent negative importance, which is rarely meaningful in practice.
What is the difference between weighted mean and arithmetic mean?▼
Arithmetic mean gives equal weight to all values. Weighted mean gives different weights based on importance. When all weights are equal, weighted mean equals arithmetic mean.
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