The arithmetic mean of 25 observations is 32.6. If the arithmetic mean of the first 24 observations is 30, what is the 25th observation?
- AOption (a)
90
- BOption (b)
80
- COption (c)
95
- DOption (d)
85
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Correct answer
95
Why this answer is correct
Shortcut Trick
Use the Deviation Method: The 25th observation accounts for the total change in the mean.
Change in Mean = 32.6 β 30 = 2.6
Total Deviation = 24 Γ 2.6 = 62.4
25th observation = New Mean + Total Deviation = 32.6 + 62.4 = 95
β΄ The correct answer is 95.
Alternate Method
Given:
Arithmetic Mean of 25 observations = 32.6
Arithmetic Mean of the first 24 observations = 30
Formula Used:
Sum of observations = Mean Γ Total Number of observations
Calculations:
β Total sum of 25 observations = 25 Γ 32.6 = 815
β Total sum of first 24 observations = 24 Γ 30 = 720
β 25th observation = Total Sum (25) β Total Sum (24)
β 25th observation = 815 β 720 = 95
β΄ The correct answer is 95.
Additional Information
Arithmetic Mean Formula
The average or Mean (xΒ―) is calculated as the sum of all values divided by the total number of values: xΒ― = (βxi) Γ· n.
Effect of Inclusion/Exclusion
When a new value is added, the New Sum = (Old Average Γ Old Count) + New Value. Conversely, New Value = (New Average Γ New Count) β (Old Average Γ Old Count).
Deviation Concept
The sum of deviations of all observations from their arithmetic mean is always zero (β(xi β xΒ―) = 0).