The line chart given below shows the expenditure of two companies J and K in five different years.
L1 - The difference between average expenditure of company J in year A and B and the average expenditure of company K in year C and D.
L2 - The value of average expenditure of company K in all 5 years. What is the value of (L2 - L1)?
Answer & explanation
Correct answer: option 3
L1 - The difference between average expenditure of company J in year A and B and the average expenditure of company K in year C and D.
Average expenditure of J in year A & B = \(\frac{400 + 300 }{2}\) = 350
Average expenditure of K in year C & D = \(\frac{500 + 300 }{2}\) = 400
L1 = 400 - 350 = 50
L2 - The value of average expenditure of company K in all 5 years.
L2 = \(\frac{1000 + 700 + 500 +300 + 200 }{5}\)
= \(\frac{2700 }{5}\)
= 540
Now , ( L2 - L1 ) = 540 - 50 = 490