Geometric Mean. Sep 24 2018 A geometric construction of the Quadratic and Pythagorean means of two numbers a and b. Harmonic means round out the trio.
For example you can use GEOMEAN to calculate average growth rate given compound interest with variable rates. It is defined as the nth root of the product of n numbers. Geometric mean is the calculation of mean or average of series of values of product which takes into account the effect of compounding and it is used for determining the performance of investment whereas arithmetic mean is the calculation of mean by sum of total of values divided by number of values.
More formally the geometric mean of n numbers a1 to an is.
However Geometric means takes into account the compounding effect during the calculation. His ilk who studied their proportions. Harmonic means round out the trio. The Geometric Mean GM of a set of n observations is the nth root of their product.
