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Weighted Average Life Calculation

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Weighted Average Life Calculation . The average life of the first loan is significantly less than that of the second loan. × reset + add row. Weighted average life calculation excel example from laurelquality-cleaners.com Key takeaways weighted average life refers to how long it would take for roughly half of the outstanding principal amount on a loan to. The average life is the length of time the principal of a debt issue is expected to be outstanding. The calculation for this percentage is to aggregate all interest payments in the measurement period, and divide by the total amount of debt.