How To Calculate Weighted Harmonic Mean Complete Guide

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1 Part 1 The Mean Values 2
1 Part 1 The Mean Values 2 from present5.com

The weighted harmonic mean on the other hand correctly weights each data point. 60 invested in the first company 25 in the second and 15 invested in the third. W_i the weight of the data point.

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Understand the given data and arrange it. If these ratios are averaged using a weighted arithmetic mean high data points are given greater weights than low data points. The basic difference is that each of the values can be influenced by the values of the different multipliers called weights while in the harmonic mean. Harmonic mean can be used to calculate a mean that reduces the impact of outliers.