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Question

Given below is the distribution of total household expenditure of 200 manual workers in a city:
Expenditure (in Rs) No. of manual workers
1000-1500 24
1500-2000 40
2000-2500 31
2500-3000 28
3000-3500 32
3500-4000 23
4000-4500 17
4500-5000 5
Find the expenditure done by maximum number of manual workers.

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Solution

As the class 1500-2000 has the maximum frequency, it is the modal class.
Now, xk=1500, h=500, fk=40, fk-1=24 and fk+1=31 Mode, M0=xk+h×fk-fk-12fk-fk-1-fk+1=1500+500×40-242×40-24-31=1500+500×1625=1500+320=1820

Hence, mode = Rs 1820

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