Excel GEOMEAN Function

Excel GEOMEAN Function

Summary

The Excel GEOMEAN function returns the geometric mean for a set of numeric values. Geometric mean can be used to calculate average rate of return with variable rates.

Purpose

Calculate geometric mean

Return value

Calculated mean

Syntax

=GEOMEAN (number1, [number2], ...)

Arguments

Usage notes

The Excel GEOMEAN function calculates the geometric mean. Geometric mean is the average rate of return of a set of values calculated using the products of the terms. The general formula for the geometric mean of N numbers is the Nth root of their product.

In the example shown, the formula in F6 is:

=GEOMEAN(C5:C7)

Which calculates geometric mean as described above, equivalent to either of the two formulas below:

=(0.1*0.2*0.3)^(1/3)=POWER(0.1*0.2*0.3,1/3)

Notes

  1. Arguments can be numbers, names, arrays, or references that contain numbers.
  2. Empty cells, and cells that contain text or logical values are ignored.

 

Excel GEOMEAN Function

Summary

The Excel GEOMEAN function returns the geometric mean for a set of numeric values. Geometric mean can be used to calculate average rate of return with variable rates.

Purpose

Calculate geometric mean

Return value

Calculated mean

Syntax

=GEOMEAN (number1, [number2], ...)

Arguments

Usage notes

The Excel GEOMEAN function calculates the geometric mean. Geometric mean is the average rate of return of a set of values calculated using the products of the terms. The general formula for the geometric mean of N numbers is the Nth root of their product.

In the example shown, the formula in F6 is:

=GEOMEAN(C5:C7)

Which calculates geometric mean as described above, equivalent to either of the two formulas below:

=(0.1*0.2*0.3)^(1/3)=POWER(0.1*0.2*0.3,1/3)

Notes

  1. Arguments can be numbers, names, arrays, or references that contain numbers.
  2. Empty cells, and cells that contain text or logical values are ignored.