SaraLotfy wrote:The median annual household income in a certain community of 21 houses is $ 50,000. If the mean income of a household increases by 10% per year over the next 2 years, what will the median of the community be in 2 years?
A) 50,000
B) 60,000
C) 60,500
D) 65,000
E) Can not get
It's impossible to determine the median household income from the information given. For example, if the reason the mean household income increases by 10% per year over the next 2 years is because the annual income of every household increases by 10% per year over the next 2 years, then the median household income would also increases by 10% per year over the next 2 years, to 50,000 x 1.1 x 1.1 = $60,500. However, it's possible that only the household with the highest annual income increases by a tremendous amount each year for the next 2 years, such that the mean household income for the community increases by 10% per year over the next 2 years. In that case, the median household income would stay the same at the end of the 2 years, i.e., at $50,000.
Answer: E
