Investing and Financial Markets
Mathematical Finance

How do you find the average interest rate among a number of different investments with different purchase dates and annualized interest rates?

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May 04, 2007 1:00AM

Create a Weighted Average: 1. Multiply each value by its weight. 2. Add up the products of value times weight to get the total value. 3. Add the weight themselves to get the total weight. 4. Divide the total value by the total weight.