Answer to Question #211523 in Economics for Ashmi

Question

Find average wage rate from the data given below:

Wage rate (Rs.)

Less than 20

20-40

40-60

60-80

More than 80

no. of workers 

4

6

5

3

2

Answer 1

Class Mark = midpoint of an interval = (Lower limit+Upper limit) / 2

1. (0 + 20) / 2 = 10
2. (20 + 40) / 2 = 30
3. (40 + 60) / 2 = 50
4. (60 + 80) / 2 = 70
5. (80 + 100) / 2 = 90

Average wage rate = (10 x 4) + (30 x 6) + (50 x 5) + (70 x 3) + (90 x 2) / 20 = 38