BizJourney
Home › Formulas › Mean (average)

How to calculate Mean (average)

The Mean (average) formula, with plain worked examples you can check yourself.

Mean (average) = Σx ÷ n

Worked examples

Σx = 80 · n = 4Mean (average) = 20
Σx = 220 · n = 10Mean (average) = 22
Σx = 135 · n = 5Mean (average) = 27

How to use it

  1. Write down the values for each letter in the formula.
  2. Do the brackets first, then divide or multiply.
  3. Check the units before you compare results.
  4. Compare the answer with last period or with a competitor to see if it is good or bad.

This formula belongs to Strategy & Decisions.

Related terms

SWOT analysisKPIStakeholderOpportunity costSunk costVision statement

Practice Mean (average) with real numbers

Quizzes, a CEO simulator, a real estate tycoon game and startup tools. Free to start, in 7 languages.

Play BizJourney free →