What's my average account balance?
What's my average account balance?
Author
Discussion

ferrariF50lover

Original Poster:

1,834 posts

256 months

Friday 2nd September 2016
quotequote all
Hi guys,

I was going to ask in the Finance sub-forum, but my word, what a fking terrible species of self-congratulatory aholes.

Imagine I have a bank account. In month 1, I deposit £1200, and for the next 11 months I deposit £200/month. Come the end of month 12, the account is worth £3400.

My maths keeps telling me that the average balance was £1700, but what with the 'uneven' spread of the credit payments, that just doesn't feel quite right.

I don't need to know for any reason, the question occurred to me while I was playing with the dog this evening. It's not often a maths question has me stumped, but this one does.

Any ideas?

size

88 posts

182 months

Friday 2nd September 2016
quotequote all
Your skint.

anonymous-user

84 months

Friday 2nd September 2016
quotequote all
Work it out on a daily basis.

Do a spreadsheet. Rows 1-31 enter 1200. Rows 32-59 enter 1400. And so on up to 365.

Sum the total and divided by 365. That's your average. ETA: which is £2,305.21.

Edited by anonymous-user on Friday 2nd September 23:37

brrapp

3,701 posts

192 months

Friday 2nd September 2016
quotequote all
Greg66 said:
Work it out on a daily basis.

Do a spreadsheet. Rows 1-31 enter 1200. Rows 32-59 enter 1400. And so on up to 365.

Sum the total and divided by 365. That's your average. ETA: which is £2,305.21.

Edited by Greg66 on Friday 2nd September 23:37
Almost got the same answer by a lot quicker method.
half of (final sum minus starting sum ) added to starting sum=2300
i know this is working out the median rather than the mean balance, but as the monthly pay-in was evenly spread throughout the year, it should give the same figure.

SpamDisco

394 posts

154 months

Friday 2nd September 2016
quotequote all
(1200+1400+1600+...)/12=2300

FN2TypeR

7,091 posts

123 months

Friday 2nd September 2016
quotequote all
size said:
Your skint.
Your* wrong.




  • sic

Some Gump

13,018 posts

216 months

Saturday 3rd September 2016
quotequote all
ahaha, some self congratulatory tt moved it to finance.

It was not even a finance question, it was maths.

Brilliant.

anonymous-user

84 months

Saturday 3rd September 2016
quotequote all
brrapp said:
Almost got the same answer by a lot quicker method.
half of (final sum minus starting sum ) added to starting sum=2300
i know this is working out the median rather than the mean balance, but as the monthly pay-in was evenly spread throughout the year, it should give the same figure.
The payments in are not quite evenly spread because the months are different lengths. And a longer month at the end of the year when the balance is high pulls the average up compared to a short month early in the year when the balance is low.

ferrariF50lover

Original Poster:

1,834 posts

256 months

Saturday 3rd September 2016
quotequote all
Thanks all, especially to whichever mod moved the thread. I wonder if I'd asked about putting beans into a tin whether it would have been moved to the food section?