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Old 11-15-2008, 04:33 PM, Average Salary Question
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Default Average Salary Question

Help please with math question:

Last year the avg. salary of the 10 employees of Company X was $42,800. What is the avg. salary of the same 10 employees this year?

1) For 8 of the 10 employees, this year's salary is 15 percent greater than last year's salary.
2) For 2 of the 10 employees, this year's salary is the same as last year's salary

Why is it wrong to think that we will be able to calculate this year's avg. given last year's avgerage?
IThat is, why is the answer not C?

statement 1
1.15 (42.8) x 8
+
statement 2
(42.8) (2)
= the sum of the salaries.
That sum divided by 10 = the this year's avg.

OA however, says it is E that is correct.
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Old 11-15-2008, 04:45 PM, Average Salary Question
JEM JEM is offline
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Default re

Ok,

Granted the info in 1 and 2, we still don't know any individual salary and have no reason to believe each individual's salary is equal to last year's average salary. Think about it this way: say the top few salaries increased by x% and the lowest few salaries did not change. The average would then be significantly different than if the lowest few salaries increased by x% and the top few salaries did not change.

I'm not sure exactly where you're from, but you might benefit from one of MR's courses, which can help you develop the math skills you will need for the GMAT.

http://www.manhattanreview.com/cours...urse-list.html

Hope that helped,
JEM

Last edited by JEM; 11-15-2008 at 04:51 PM.
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Old 11-25-2008, 02:12 AM, Average Salary Question
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Default RE

I am from Mexico City, JEM. Thank you for your help again.

I looked at the MR website and yes, I think I may sign up for one of the free online info sessions.
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Old 01-19-2009, 04:56 AM, Average Salary Question
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Join Date: Jan 2009
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Quote:
Originally Posted by JEM View Post
Ok,

Granted the info in 1 and 2, we still don't know any individual salary and have no reason to believe each individual's salary is equal to last year's average salary. Think about it this way: say the top few salaries increased by x% and the lowest few salaries did not change. The average would then be significantly different than if the lowest few salaries increased by x% and the top few salaries did not change.

I'm not sure exactly where you're from, but you might benefit from one of MR's courses, which can help you develop the math skills you will need for the GMAT.

http://www.manhattanreview.com/cours...urse-list.html

Hope that helped,
JEM
My answer is the same as this, the info in 1 and 2.



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Old 06-22-2010, 04:17 AM, Average Salary Question
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thanks man.
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Old 07-13-2010, 01:28 AM, Average Salary Question
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It was really a nice experience to read out from here because all the posts are interesting to read out and conating very useful information for the readers as well.
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Old 07-15-2010, 10:09 PM, Average Salary Question
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Kudos to you JEM! I am a newbie here and glad to have stumbled this forum, am learning a lot of answers to my GMAT queries.
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