Question

The manager of a grocery store wants to determine the average amount of money spent at his store as it compares to the average dollar amount spent at his competitor's store. At the end of the day, he reviews the amounts of the last 15 grocery orders. The amounts rounded to the nearest dollar are: 41, 38, 19, 30, 21, 53, 34, 34, 37, 29, 50, 43, 57, 28, 50 He then visits the store of his competitor and surveys the first 15 people leaving the store with groceries. The amounts he records, also rounded to the nearest dollar, are: 86, 15, 75, 40, 51, 60, 27, 45, 112, 7, 65, 31, 18, 27, 69 What is the average amount of money spent at each store to the nearest cent? For which store is the mean a better representation of the data? In two or more complete sentences, explain your answer.

Answer 1

For the manager's grocery store, the average mean to the nearest cent is 37.6 while the competitor's store has an average of 48.53. However, the store that has a mean that better represents its data is the first store, the manager's store, because the values are more close to the mean as compared to the other store which has extreme values far from the mean or scattered from the mean.