The mean score of 10 employees in a certain company is 42000

The mean score of 10 employees in a certain company is $42,000 and the median is $38,000. If the highest paid employee got a raise of $7,500 because of excellent job performance. Calculate the new mean salary. Calculate the new median salary.

Solution

Now mean is total/number. So 42000=total/10. Total =420000.

New 7500 is added in total so total is now 420000+7500=427500. Hence New mean =42750/10=42750.

Median will remain the same as it is the middle value arranged in ascending order and additional is given to highest player which will not disturb the sequence.