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A weighted average is most often computed to equalize the frequency of the values in a data set. For example, a voter survey might gather enough responses to be considered statistically valid, but ...
Now, let's say that Apple releases some incredibly positive news tomorrow, and its shares jump by 20%, or to $113.62. This would raise the price-weighted average to $64.53, a 10.8% jump.
To calculate the weighted average, you need to add up the total weighted grades (16 + 6 = 22), and divide by the total weight (4 + 2 = 6). When we do this, you arrive at a GPA of 3.67, which is ...
For example, a trader assigns a weighting of one to the first closing price in a 10-day weighted moving average and a weighting of 10 to the tenth day's closing price, ...