Answer:
The arithmetic mean is 121.
Explanation:
The total numbers of families (N) is 8.
The assumed average (A) here is 75, which lies in the middle of the distribution.
The total monthly income of all the families is
= 70 + 10 + 500 + 75 + 13 + 250 + 8 + 42
= 968
The arithmetic mean through the direct mean
=
=
= 121
The summation of deviation (D) from assumed mean
= -5 + (-65) + 425 + 0 + (-62) + 175 + -67 + -33
= 368
The arithmetic mean through direct method is
= A +
= 75 +
= 75 + 46
= 121
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