How to use Average function in Excel

Average Function

The Average function is categorized under Excel Statistical functions. It will return the average value of a given series of numbers in Excel.

This guide will show you, step-by-step, how to calculate the average in Excel.

Function Name: Average Function

What is the Use Of  Average Function?

Average Function is used to average out the value of given numbers.

Syntax: = Average (Number 1,Number 2….)


Average Function



The AVERAGE function syntax has the following arguments:

  • Number1 Required. The first number, cell reference, or range for which you want the average.
  • Number2, … Optional. Additional numbers, cell references or ranges for which you want the average, up to a maximum of 255.
  • Arguments can either be numbers or names, ranges, or cell references that contain numbers.

  • Logical values and text representations of numbers that you type directly into the list of arguments are not counted.
  • If a range or cell reference argument contains text, logical values, or empty cells, those values are ignored; however, cells with the value zero are included.
  • Arguments that are error values or text that cannot be translated into numbers cause errors.
  • Average, which is the arithmetic mean, and is calculated by adding a group of numbers and then dividing by the count of those numbers. For example, the average of 2, 3, 3, 5, 7, and 10 is 30 divided by 6, which is 5.


Now let’s understand with an Example

Monthly Sales Data


In the Above Image, there is a Dataset of Monthly Sales figures.

How to Calculate Average of Monthly Sales?


How to Use Average Function for Yearly Sales?

=Average (C4:C15)

The result will be 18.

So How it will be calculated in the above function?  How Result 18 is Calculated?

First of All, Excel has done Sum of Value in Between cell C4 to C15 like 10+15+18+22 and value would be 216, After that No of value counted which will be 12. Now 216 will be divided by 12 and the result is 18.

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