Question

The salaries for the eight employees at a small company are $20,000,$20,000,$24,000,$24,000,$29,000,$34,000 and $79,000.Make a qualitative inference about a typical salary at this company. Would an advertisement that stated that the average salary earned at the company is $31,500 be misleading? Explain.

Answer 1

Well the typical salary is 20,000$ - 24,000$ the larger numbers are most likely the bosses of the company, maybe the manger, and longest employ, which are all not typical jobs. Saying the average salary at the company is 31,500$ would misleading, because a new employee would not get payed that much, however it is not false since the average of those numbers is a little above that.