A small accounting firm pays each of its seven clerks $60,000, three junior acco
ID: 3299875 • Letter: A
Question
A small accounting firm pays each of its seven clerks $60,000, three junior accountants $85,000 each, and the firm's owner $620,000.
What is the mean salary paid at this firm? (Round your answer to the nearest whole number.)
What is the median salary?
The firm gives no raises to the clerks and junior accountants, but the owner is given a new salary of $920,000.
How does this change affect the mean? (Round your answer to the nearest whole number.)
The mean increases by $ .
How does it affect the median?
The median increases by $ .
Explanation / Answer
mean salary paid at this firm =(7*60000+3*85000+620000)/11 =117727
median salary=(n+1)/2 th value =(11+1)/2 th value =6 th value =60000
after revision:
mean increase =(920000-620000)/11 =27273
median increases by $ 0 (as 6th position salary remains same)