Variance Percentage

Trying to calculate the correct variance percentage for cell A4 from these totals listed below;

A1
826,356 (total spent to date)
A2
956,982 (yearly average)
A3
888,290 (secondary yearly average based on no added revenue)

current excel formula for A4: =IFERROR(AVERAGEA(A1,A2,A3)/(A1),"0%") ; tried other formulas but have ran out of time in trying to figure out the correct calculation.

current answer in A4: 108%

the sum of A1:A3 is 2,671,628
that makes the average 890,542.67
7.76744% of cell A1 is 64186.71
A1+64186.71 = 890,542.71

difference is due to rounding.
so the formula is correct.

Shouldn't it be =A1/AVERAGE(A2,A3)?

thank you for the feedback, Jan.

I think Josephs formula is correct; however, i don't know how it will work out with negative numbers and 0's?

with no negative numbers, this formula works!

=IFERROR(A1/AVERAGEA(A2:A3),"0%")

Originally Posted by josephteh

Shouldn't it be =A1/AVERAGE(A2,A3)?

that depends if you want the difference from A1 to the AVERAGE, or from the AVERAGE to A1

Great point!!!!!

If the AVERAGE is to A1 then the answer would be 108% ?

You don't compare budget to actual, you compare actual to budget. So the formula for variance is always (Actual - Budget) / Budget x 100%.