BREAKING: Target Test Prep releases Brand New 2026 On Demand GMAT prep course

Redeem

Hourly Wage

This topic has expert replies
Post new topic Post Reply
Previous Topic Next Topic
Master | Next Rank: 500 Posts
Posts: 191
Joined: Sat Jun 26, 2010 9:27 am
Thanked: 6 times
Followed by:2 members

Hourly Wage

by ashish2104 » Thu Aug 12, 2010 4:37 am
A certain company's customer service department has five employees. The hourly wage for each employee ranges from $5 an hour to $20 an hour. Which of the following could be the average (arithmetic mean) hourly wage for the customer service employees?
1) $7.50 an hour
2) $9 an hour
3) $16.75 an hour

A. 1 only
B. 2 only
C. 3 only
D. 1 and 2 only
E. 2 and 3 only

[spoiler]OA: E While considering min and max avg can we consider all values as either 5 or 20 respectively?[/spoiler]
Top
Source: — Problem Solving |
User avatar
Master | Next Rank: 500 Posts
Posts: 324
Joined: Mon Jul 05, 2010 6:44 am
Location: London
Thanked: 70 times
Followed by:3 members

by kmittal82 » Thu Aug 12, 2010 5:04 am
In my opinion all 3 options are correct.

The OA says $7.50 cannot be the the answer, but what if all employees earn $7.50 each, in which case it satisfies the criteria of the wage of each employee being between $5 and $20
Top
Master | Next Rank: 500 Posts
Posts: 191
Joined: Sat Jun 26, 2010 9:27 am
Thanked: 6 times
Followed by:2 members

by ashish2104 » Thu Aug 12, 2010 5:21 am
Even i thought all 3 options are correct.

If you consider the minimum average of all 5 people to be 5, then all 3 options satisy. [5+5+5+5+5]/5=5
If you consider, one person to have max hourly wage and rest min, then OA is satisfied. [20+5+5+5+5]/5=8
My doubt here was this exact point.

Can somebody clarify?
Top
User avatar
Newbie | Next Rank: 10 Posts
Posts: 7
Joined: Sat Jul 11, 2009 5:48 am
Thanked: 1 times
GMAT Score:760

by CompBanker » Fri Aug 13, 2010 4:10 pm
ashish2104 wrote:Even i thought all 3 options are correct.

If you consider the minimum average of all 5 people to be 5, then all 3 options satisy. [5+5+5+5+5]/5=5
If you consider, one person to have max hourly wage and rest min, then OA is satisfied. [20+5+5+5+5]/5=8
My doubt here was this exact point.

Can somebody clarify?
The question states that hour wage ranges from $5 an hour to $20 an hour. It does not state that the wages are between the ranges of $5 an hour to $20 an hour. Hence, one employee must be earning $20/hr and another must be earning $5/hr.

Assuming the remaining three are earning at least $5/hr, the minimum average earnings will be $8/hr. Hence, $7.50 does not satisfy the parameters.
CompBanker
Top
Post new topic Post Reply
• Page 1 of 1