A weighted average is a calculation that takes into account the relative importance, or weight, of each value in a dataset. Unlike a simple average, where all values contribute equally, a weighted average assigns different levels of significance to each value based on its weight. This method is useful in situations where some data points are more influential than others, such as in calculating grades or financial returns. To compute a weighted average, multiply each value by its corresponding weight, sum these products, and then divide by the total of the weights. For example, in calculating a student's final grade, assignments might have a weight of 40%, while exams could have a weight of 60%. This ensures that the more significant components have a greater impact on the final result.