Question

question 4 of 25
if a company has five employees with annual salaries of $40,000, $90,000, $40,000, $30,000, and $80,000, respectively. what is the mean annual salary at the company?
a. $80,000
b. $70,000
c. $40,000
d. $56,000

Explanation:

Step1: Recall mean formula

The mean (average) $\bar{x}=\frac{\sum_{i = 1}^{n}x_{i}}{n}$, where $x_{i}$ are the data - points and $n$ is the number of data - points. Here, $n = 5$, $x_1=40000$, $x_2 = 90000$, $x_3=40000$, $x_4=30000$, $x_5 = 80000$.

Step2: Calculate sum of salaries

$\sum_{i=1}^{5}x_{i}=40000 + 90000+40000 + 30000+80000=280000$.

Step3: Calculate the mean

$\bar{x}=\frac{280000}{5}=56000$.

Answer:

D. $56,000$