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how to calculate a weighted average interest rate. Add the per loan weight factors together. For a Direct Consolidation Loan the weighted average of the interest rates of all loans will be rounded up to the nearest.
Calculating Weighted Average Cost Of Capital Using Excel Cost Of Capital Excel Weighted Average from www.pinterest.com
Add the results together then divide that number by the sum of all your loan balances. A weighted average interest rate is used when consolidating federal student loans with a Direct Consolidation Loan. Determine the weight of each data point.
Multiply each loan balance by the corresponding interest rate.
Add the loan amounts together to obtain the. Lets use an example. 25 in investment A 25 in investment B and 50 in investment C. 1 In Excel to calculate the weighted average in excel first we need to calculate a SUMPRODUCT write down the following formula 2 Now calculate the total number of values.
