What is Harmonic Mean??
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Harmonic means are often used in averaging things like rates (e.g., the average travel speed given a duration of several trips). The weighted harmonic mean is used in finance to average multiples like the price-earnings ratio because it gives equal weight to each data point.
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DescriptionIn mathematics, the harmonic mean is one of several kinds of average, and in particular one of the Pythagorean means. Typically, it is appropriate for situations when the average of rates is desired.
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