UK Accounting Glossary
An arithmetic average that takes into account the importance of the items making up the average.
The weighted average (weighted mean) is an arithmetic average that takes into account the importance of the items making up the average.
In calculating the value of a share index, the share prices are typically weighted in some way; most frequently by the market capitalisation of the company.
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Definitions for Weighted Average are sourced/syndicated from:
This glossary post was last updated: 5th May 2019.