In this tutorial, I am going to show you 6 easy methods to calculate the average revenue in Excel. You can quickly use these methods even in large datasets to find the average monthly revenue dataset. Throughout this tutorial, you will also learn some important Excel tools and functions that will be very useful in any Excel-related task.
How to Calculate Average Revenue in Excel: 6 Easy Methods
We have taken a concise dataset to explain the steps clearly. The dataset has approximately 6 rows and 2 columns. Initially, we formatted all the cells containing dollar values in Accounting format and all the percentage values in % format. For all the datasets, we have 2 unique columns which are Month and Revenue. Although we may vary the number of columns later on if that is needed.
1. Using AVERAGE Function
The AVERAGE function in Excel can calculate the arithmetic mean of the values that we provide as inputs. We can use this function to calculate average revenue. Let us see how to do this.
Steps:
- First, go to cell C10 and insert the following formula:
=AVERAGE(C5:C9)
- Now, press Enter and this will calculate the average revenue for the 5Â months.
Read More: How to Calculate Average of Averages in Excel
2. Applying AVERAGEA Function
The AVERAGEA function works similarly to the previous function except that it also considers texts, TRUE and FALSE values. Let us see how to use this function to calculate the average revenue in Excel.
Steps:
- To begin with, double-click on cell C10 and enter the below formula:
=AVERAGEA(C5:C9)
- Next, press the Enter key and you should get the average revenue for the months of January, February, March, April, and May.
Read More: How to Average a Column in Excel
3. Calculating Average Revenue by AVERAGEIF Function
The AVERAGEIF function in Excel requires a criteria range to work with, unlike the previous ones. Below we shall see how to apply this function to calculate average revenue from a dataset.
Steps:
- Firstly, double-click on cell C10 and insert the formula below:
=AVERAGEIF(C5:C9,"<>0")
- Next, press the Enter key and consequently, this will find the Average Revenue for the input months inside cell C10.
Read More: How to Calculate Average of Multiple Columns in Excel
4. Using AVERAGEIFS Function
The AVERAGEIFS function in Excel can calculate the average of input cell values using multiple criteria. This function can be useful to calculate average revenue as we will see in the following steps.
Steps:
- To start this method, navigate to cell C10 and type in the following formula:
=AVERAGEIFS(C5:C9,C5:C9,"<>0")
- After that, press the Enter key or click on any blank cell.
- Lastly, this will give you the average for the revenue values of all the months.
Read More: How to Calculate Average Only for Cells with Values in Excel
5. Utilizing DAVERAGE Function
The DAVERAGE function in Excel works with databases and can find the average of cell values if we set the proper criteria. To calculate average revenue with this function, we need to set up an additional table to declare the criteria. So, let us see how to apply this in practice.
Steps:
- As previously, insert the below formula inside cell C10:
=DAVERAGE(B4:C9,"Revenue",E4:E7)
- Finally, press the Enter key and we should get the average revenue for the 3 months that we set as criteria.
Read More: How to Calculate Average of Multiple Ranges in Excel
6. Determining Average Revenue Using MEDIAN Function
The MEDIAN function in Excel first organizes the input values in ascending order and then selects the middle value as the average of the dataset. From this, you can guess that this will produce a slightly different result from the previous functions. Let us see how to use this function to calculate the average revenue.
Steps:
- First, go to cell C10 and insert the following formula:
=MEDIAN(C5,C6,C7,C8,C9)
- Next, press Enter and immediately this will find the average revenue from all the input months.
Read More: How to Calculate Average, Minimum And Maximum in Excel
How to Calculate Average Percentage in Excel
We can use any of the previous methods to calculate the average of a set of percentage values. Although the MEDIAN function might not be suitable in this case. Follow the below steps to do this.
Steps:
- To begin with, this method, navigate to cell C10 and insert the following formula:
=AVERAGE(C5:C9)
- After that, just press the Enter key to confirm or click on any empty cell and this should calculate the average percentage of all the students.
Things to Remember
- The result from the MEDIAN function will vary depending on the number of input values.
- The MEDIAN function can take up to 255 arguments as input values.
- The title in the additional table for the DAVERAGE function method has to be the same as in the main table which in our case is Month.
- The <> sign in the formula means not equal to.
Download Practice Workbook
You can download the practice workbook from here.
Conclusion
I hope that you were able to apply the methods that I showed in this tutorial on how to calculate the average revenue in Excel. As you can see, there are quite a few ways to achieve this. So wisely choose the method that suits your situation best. If you get stuck in any of the steps, I recommend going through them a few times to clear up any confusion. Lastly, If you have any queries, please let me know in the comments.
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