Question

The following table shows the salary of 7 people in an office last year.

Name Income
Andy £9500
Bevan £25000
Cheryl £13250
Deva £72000
Elliott £12750
Frankie £29500
Grace £11000
a) Work out the mean income to 2 DP.
b) Deva was given a large bonus for 30 years service.
Excluding Deva's income, what was the mean income for the remaining 6 workers to 2 DP?

Answer 1

a. £24,714.29

b. £16,833.33

Explanation:

The calculation of mean income is given below:-

Mean income = Total addition of salaries ÷ Number of workers

= £9,500 + £25,000 + £13,250 + £72,000 + £12,750 + £29,500 + £11,000

= £173,000 ÷ 7

= £24,714.29

Now,

the Mean income excluding Deva's salary:

= Formula of Mean income

= Total addition of salaries excluding Deva salary ÷ Number of workers

= (£9,500 + £25,000 + £13,250 + £12,750 + £29,500 + £11,000) ÷ 6

= £101,000 ÷ 6

= £16,833.33