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Question

In two factories A and B, located in the same industrial area, the average weekly wages in rupees and the Standard Deviation are as follows:

Factory

Average of wages in Rs.

S.D. of wages in Rs.

A

B

34.5

28.5

6.21

4.56

Determine which factory has greater variability in individual wages?

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Solution

Table of calculation

Factory

Mean Wage

S.D

C.V=

A

34.5

6.21

B

28.5

4.56

The coefficient of variation for factory B is less than that for factory A.

Hence, factory A has greater variability in individual wages.


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