CA Foundation Exam > CA Foundation Questions > Multiplying the values of the variable by the...
Start Learning for Free
Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights is
- a)simple average
- b)weighted average
- c)both
- d)none
Correct answer is option 'A'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Most Upvoted Answer
Multiplying the values of the variable by the corresponding weights an...
Explanation:
Simple average is defined as the sum of all values of a variable divided by the number of values. In some cases, however, each value may not be equally important. In such situations, a weighted average is used.
A weighted average is a type of average that takes into account the importance, or weight, of each value. The weights are typically represented by a set of numbers that add up to 1.0 or 100%.
To calculate a weighted average, we multiply each value of the variable by the corresponding weight, then add up the products, and finally divide the sum of products by the sum of weights.
For example, let's say we have the following data:
| Value | Weight |
|-------|--------|
| 10 | 0.3 |
| 20 | 0.5 |
| 30 | 0.2 |
To calculate the weighted average, we first multiply each value by its weight:
10 x 0.3 = 3
20 x 0.5 = 10
30 x 0.2 = 6
Then we add up the products:
3 + 10 + 6 = 19
Finally, we divide the sum of products by the sum of weights:
19 ÷ (0.3 + 0.5 + 0.2) = 19 ÷ 1 = 19
Therefore, the weighted average of the data is 19.
In contrast, for a simple average, we would simply add up all the values and divide by the number of values. For our example data, the simple average would be:
(10 + 20 + 30) ÷ 3 = 20
Thus, multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights is a method used to calculate a weighted average.
Simple average is defined as the sum of all values of a variable divided by the number of values. In some cases, however, each value may not be equally important. In such situations, a weighted average is used.
A weighted average is a type of average that takes into account the importance, or weight, of each value. The weights are typically represented by a set of numbers that add up to 1.0 or 100%.
To calculate a weighted average, we multiply each value of the variable by the corresponding weight, then add up the products, and finally divide the sum of products by the sum of weights.
For example, let's say we have the following data:
| Value | Weight |
|-------|--------|
| 10 | 0.3 |
| 20 | 0.5 |
| 30 | 0.2 |
To calculate the weighted average, we first multiply each value by its weight:
10 x 0.3 = 3
20 x 0.5 = 10
30 x 0.2 = 6
Then we add up the products:
3 + 10 + 6 = 19
Finally, we divide the sum of products by the sum of weights:
19 ÷ (0.3 + 0.5 + 0.2) = 19 ÷ 1 = 19
Therefore, the weighted average of the data is 19.
In contrast, for a simple average, we would simply add up all the values and divide by the number of values. For our example data, the simple average would be:
(10 + 20 + 30) ÷ 3 = 20
Thus, multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights is a method used to calculate a weighted average.
Free Test
FREE
| Start Free Test |
Community Answer
Multiplying the values of the variable by the corresponding weights an...
Weighted average
Attention CA Foundation Students!
To make sure you are not studying endlessly, EduRev has designed CA Foundation study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in CA Foundation.
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer?
Question Description
Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer?.
Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer?.
Solutions for Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer?, a detailed solution for Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? has been provided alongside types of Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Multiplying the values of the variable by the corresponding weights and then dividing the sum of products by the sum of weights isa)simple averageb)weighted averagec)bothd)noneCorrect answer is option 'A'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup