Problems Based on the 2010 census the mean income for people

Problems: Based on the 2010 census, the mean income for people living in Bucks County, PA was $48,000 while the median income for Bucks County was $39,000. How can you explain the difference between these two measures?

Solution

Mean Income is calculated by adding total income of a particular year and then dividing them by the number of income you have. It means the income is equally distributed to all people. If the data is symmetrical, use mean measure.

Median income is calculated by divides the income into two equal groups, half of income is above is that of amount and half of income is below that amount. It is calculated by household income, personal income. If the data is not symmetrical, then use median measure.