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LoansJagat Team

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03 Jun 2025

How to Calculate Average Percentage – Step-by-Step Guide

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The average percentage is the mean value of two or more percentages, giving a general idea of the overall performance or proportion.

 

Let’s understand this with an example. Suppose Emma is a student who received the following percentages in four subjects:

 

Subject

Percentage (%)

Mathematics

80

Science

75

English

85

History

70

 

To calculate her average percentage, we add all the percentages and divide by the number of subjects.

 

Calculation:
 

 (80 + 75 + 85 + 70) ÷ 4 = 310 ÷ 4 = 77.5%

 

So, Emma’s average percentage across the four subjects is 77.5%.

 

This method helps summarise performance, especially when comparing different categories or periods. It’s important to ensure that all values are weighted equally—if not, a weighted average should be used instead.

 

Why Use Average Percentage?

 

Average percentage helps summarise multiple values into a single figure, making it easier to understand overall performance or trend. Let’s look at an example.

 

James runs a small online business and tracks his monthly customer satisfaction ratings over four months:

 

Month

Satisfaction (%)

January

92

February

85

March

88

April

90

 

Instead of analysing each month separately, James wants to understand the general customer experience over time. He calculates the average percentage:

 

92 + 85 + 88 + 90) ÷ 4 = 355 ÷ 4 = 88.75%

 

This average percentage—88.75%—gives James a clear view of his overall service quality. It helps him assess whether his efforts are consistently meeting customer expectations without focusing on monthly fluctuations.

Using average percentage like this simplifies decision-making and highlights long-term performance.

 

Step-by-Step Method to Calculate Average Percentage

 

Calculating the average percentage involves a few simple steps. Let’s break it down clearly using an example.

 

Example Scenario:

 

Priya is tracking her attendance in three training sessions.

 

Session

Attendance (%)

Session 1

95

Session 2

85

Session 3

90

 

Steps:

 

  1. List the Individual Percentages
     Write down all the percentage values you want to average.
     → 95%, 85%, 90%

  2. Add the Percentages Together
     Sum all the values.
     → 95 + 85 + 90 = 270

  3. Count the Number of Values
     Determine how many percentages you are averaging.
     → There are 3 sessions.

  4. Divide the Total by the Count
     → 270 ÷ 3 = 90

So, the average percentage is 90%.

 

This method is useful when all items carry equal importance. For unequal weights, use a weighted average instead.

 

Example Calculation with Real Numbers

 

Let’s explore how to calculate an average percentage using real-life data.

 

Amrita is reviewing her test scores in five subjects to see how well she performed overall.

 

Subject

Score (%)

English

78

Maths

88

Physics

84

Chemistry

90

Biology

80

 

Step-by-Step Calculation:

 

  1. Add all the percentages:
     78 + 88 + 84 + 90 + 80 = 420

  2. Count the number of subjects:
     There are 5 subjects.

  3. Divide the total by the number of subjects:
     420 ÷ 5 = 84

So, Amrita’s average percentage across all subjects is 84%.

 

This gives a quick and balanced view of her academic performance without focusing on individual highs or lows. It’s a useful way to summarise progress, especially for reports or comparisons.

 

Common Mistakes to Avoid When Calculating Average Percentage

 

While calculating average percentage is generally straightforward, people often make avoidable errors. Here are some common mistakes explained with examples:

 

Mistake

Example

Why It’s Wrong

Not Using the Correct Formula

Adding percentages but forgetting to divide by the total count.

Skipping division gives just the sum, not the average.

Mixing Raw Scores with Percentages

Using total marks instead of percentages.

The average of raw scores doesn’t reflect percentage performance.

Forgetting to Count All Entries

Averaging four values but dividing by five.

Leads to an incorrect average due to the wrong denominator.

Ignoring Weighted Values

Treating a 20-mark test and a 100-mark test equally.

Use a weighted average when values carry different importance.

Rounding Too Early

Rounding each value before averaging.

Round only the final result for better accuracy.

 

Avoiding these mistakes ensures accurate and meaningful average percentage results in academic and professional settings.

 

When to Use a Weighted Average Instead

 

A weighted average percentage is used when different values contribute unequally to the final result. It gives more importance to certain figures based on their weight or relevance.

 

Example Scenario:

 

Ravi completed two projects: a short assignment worth 20 marks and a final report worth 80 marks

 

Task

Score (%)

Weight (Marks)

Assignment

90

20

Final Report

75

80

 

Step-by-Step Weighted Average:

 

  1. Multiply each percentage by its weight:
     (90 × 20) = 1800
     (75 × 80) = 6000

  2. Add the weighted values:
     1800 + 6000 = 7800

  3. Add the total weight:
     20 + 80 = 100

  4. Divide the weighted total by the total weight:
     7800 ÷ 100 = 78%

So, Ravi’s weighted average percentage is 78%, not the simple average of 82.5%. This method gives a fairer representation when not all components are equally significant.

 

Conclusion

 

Calculating the average percentage helps understand overall performance when dealing with multiple values. 

You can easily summarise the results by adding all the percentage figures and dividing by the total number of items. 

 

However, using a weighted average is essential when different values are equally important. Whether you're analysing test scores, sales data, or performance reviews, choosing the correct method ensures accurate and meaningful results. 

 

Always double-check your steps to avoid common errors and make better-informed decisions.

 

FAQ’s

 

What is the average percentage?
It’s the mean of two or more percentage values, used to show overall performance or proportion.

How do I calculate the average percentage?
To calculate the average percentage, add all percentages and divide by the number of values.

When should I use a weighted average?
Use it when values have different importance or weights, like varying marks or contributions.

Can I average percentages of different totals?
No, use a weighted average if the base totals are different.

Why is my average percentage incorrect?
Common mistakes include wrong totals, missing values, or using raw scores instead of percentages.

 

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LoansJagat Team

We are a team of writers, editors, and proofreaders with 15+ years of experience in the finance field. We are your personal finance gurus! But, we will explain everything in simplified language. Our aim is to make personal and business finance easier for you. While we help you upgrade your financial knowledge, why don't you read some of our blogs?

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