C-Level calculation

I should preface this post by saying: Nerd Alert incoming~

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Now, I was finally taking the time to look at the C-level calculations based on armor type and I ended up confusing myself.

It looks like the C-level calculation formula can be taken two different ways and I'd like to know which one is the correct one.

One seems to vastly favor having a heavier armor type. The method of calculation also includes (and increases) your Weapon and Character Level values overall based on your armor type.

(Armor modifier)((Weapon C-level/# of weapons) + (Combined armor c-level/# of armor slots) + character level)

Example for Heavy Armor:
1.2 ((50/1) + (350/7) + 5)
1.2(50+50+5)
1.2(105) = 126

Example for Light Armor:
1 ((50/1) + (350/7) + 5)
1(50+50+5)
1(105) = 105

Example for Leather Armor:
.8((50/1) + (350/7) + 5)
.8(50+50+5)
.8(105) = 84

126/84 = 1.5
105/84 = 1.25

This is just an example for a level 5 character. The increase in C-level of a Heavy Armor over a Leather wearer is roughly 1.5x at all levels with max gear at that level. 1.25 for a Light Armor over Leather.

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The other, more favorable, version of the formula would work something like this:

((Weapon C-level/# of weapons) + (Armor Modifier(Combined armor c-level/# of armor slots)) + character level)

In this method, your armor modifier only affects the armor component of your overall C-level formula.

Which the math for the Heavy Armor translates:
((50/1) + (1.2(350/7)) + 5)
(50 + (1.2(50) + 5)
(50 + 60 + 5) = 115

Light armor:
((50/1) + (1(350/7)) + 5)
(50 + (1(50) + 5)
(50 + 50 + 5) = 105

Leather armor:
((50/1) + (.8(350/7)) + 5)
(50 + (.8(50) + 5)
(50 + 40 + 5) = 95

115/95 = ~1.2 roughly at all levels, which seems appropriate.
105/95 = ~1.1 roughly at all levels.

This way, the armor a character is wearing doesn't unnecessarily modify how much their weapon and base level are contributing to the formula, as they aren't really dependent in that matter.