Explanation of the AVERAGEIF function
The AVERAGEIF function is asking for 3 arguments as shown below:
Example data used to explain how the AVERAGEIF function works
- 3 different colors
- each color has 3 different sizes
- 2 locations (color coded to easily distinguish them apart)
- Quantity sold at each of the 2 locations
1. range (1st argument)
The AVERAGEIF function will use the range (or ‘criteria range’) that you provide to find a match against your criteria. The range that you provide can be either an entire column or a range.
2. criteria (2nd argument)
This is the criteria that you want to look for in the range (or criteria range). This will determine which of the numbers from the [average_range] get averaged into the final result.
- if any values in the range you provide do not match your criteria –> the corresponding values from the [average_range] are ignored
- if the values in the range you provide match your criteria –> the corresponding values from the [average_range] get averaged
3. [average_range] (3rd argument)
The [average_range] is what the AVERAGEIF function will use to average the numbers whenever it finds a match for your criteria.
How does the AVERAGEIF function work?
You should use the AVERAGEIF function when you need the average of a set of numbers only for a certain criteria. When your criteria is found within the range you provide, it will average the corresponding numbers in your [average_range].
The AVERAGEIF function starts with the 1st value in the range (or criteria range) that you provide and checks to see if it matches the criteria you provided.
- if yes, it includes the value from the [average_range] into the final average
- if not, it ignores the value from the [average_range]
It does this evaluation for every value within your range or (criteria range) and averages all of the values from the [average_range] where it found a match for your criteria.
Keep in mind the AVERAGEIF function syntax when reading the Formulas shown below… =AVERAGEIF(range,criteria,[average_range])
Explanation of results
- Shirts sold in location A = (3 + 13 + 11 + 16 + 15 + 2 + 8 + 19 + 6) / 9 = 93 / 9 = 10.33
- White shirts sold = (16 + 15 + 2 + 9 + 17 + 19) / 6 = 78 / 6 = 13
- Medium shirts sold = (13 + 15 + 19 + 2 + 17 + 2) / 6 = 68 / 6 = 11.33
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