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A weighted average is an average calculated using appropriate weighting factors, often market values.
For example, the weighted average of 10% and 3.6%, weighted by market values of $75m and $25m respectively, is:
(10% x $75m) + (3.6% x $25m) / ($75m + $25m)
2. Inventory accounting.
A average valuation method using units of inventory as the weighting factors.