Question : The table given below shows the income and expenditure of five companies.
Companies | Income | Expenditure |
A | 55 | 50 |
B | 50 | 40 |
C | 35 | 32 |
D | 40 | 35 |
E | 60 | 50 |
What is the difference between average income and average expenditure of all the companies?
Option 1: 4.2
Option 2: 6.6
Option 3: 2.6
Option 4: 8.4
Correct Answer: 6.6
Solution :
We know the formula, Average = $\frac{\text{Sum of all values}}{\text{The total of all values}}$
The average income of all the companies = $\frac{55+50+35+40+60}{5}=\frac{240}{5}$
The average expenditure of all the companies = $\frac{50+40+32+35+50}{5}=\frac{207}{5}$
The difference between the average income and average expenditure of all the companies
$=\frac{240}{5}-\frac{207}{5}=\frac{33}{5}=6.6$
Hence, the correct answer is 6.6.
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