Question

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

Name Income
Andy £13500
Bevan £27500
Cheryl £13750
Deva £79000
Elliott £19250
Frankie £29000
Grace £15000
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) The mean income to 2 DP is £28142.86

b) The mean income excluding Deva's income is £19666.67

Explanation:

The formula for mean is,

m = sum of terms/number of terms

Now n = number of terms = number of people = 7

And in the sum, we will input their salaries, so we get,

a) m = (13500 + 27500 + 13750 + 79000 + 19250 + 29000 + 15000)/7

m = 197000/7

m = 28142.85714

to 2 DP, we get,

m = £28142.86

b) Excluding Deva's income, i.e. excluding 79000, and then, the number of people becomes 6, so we get the mean,

Mean without Deva's Income = (13500 + 27500 + 13750 + 19250 + 29000 + 15000)/6

Mean without Deva's Income = 118000/6

Mean without Deva's Income = 19666.66667

to 2 DP, we get,

Mean without Deva's Income = 19666.67

or,

Mean without Deva's Income = £19666.67