A study was conducted of the 12month earnings per share for

A study was conducted of the 12-month earnings per share for two categories of airline companies,
with the result shown in the chart below.
Based on the data, which of the following statements is correct?
Large
Airlines
Small
Airlines
$4.36 $1.60
6.19 –1.98
–0.42 1.03
3.73 –0.21
0.26 –1.15
6.27 4.19
0.59
1.52
1.97
4.57
0.05
A. The large airlines have a mean earnings per share of 3.40, and the small airlines have a mean earnings per share of 1.22.
B. The large airlines have a standard deviation of 2.88, and the small airlines have a standard deviation of 4.04.
C. The large airlines have a mean earnings per share of 3.40, and the small airlines have a standard deviation of 2.01.
D. The large airlines have a variance of 4.04, and the small airlines have a variance of 8.30.

Solution

Large Airlines 4.36, 6.19, -0.42, 3.73, 0.26 6.27

Small Airlines 1.60, -1.98, 1.03, -0.21, -1.15, 4.19, 0.59, 1.52, 1.97, 4.57, 0.05

First find the mean for both the airlines.

Std dev for large = 2.88 and for small = 1.92