Question

An analysis of monthly wages paid to the workers of two jute mills A and B gives the following data:
\begin{tabular}{|c|c|c|} \hline & Mill - A & Mill - B
\hline No. of workers & 500 & 600
Average daily wage (in rupees) & 186 & 175
Variance of distribution of wages & 81 & 100
\hline \end{tabular} Then:

• A. Wage bill of mill A is twice that of mill B
• B. Mills A and B both have same wage bills
• C. Wage bill of mill A is greater than that of mill B
• D. Wage bill of mill B is greater than that of mill A

Hint:

Wage bill is a product of the number of workers and their average wage — variance doesn’t affect total bill.

Answer 1

The Correct Option is D

The wage bill is calculated as: \[ \text{Wage bill} = \text{Number of workers} \times \text{Average daily wage} \] For Mill A: \[ 500 \times 186 = 93000 \] For Mill B: \[ 600 \times 175 = 105000 \] Clearly, \[ \text{Wage bill of Mill B}>\text{Wage bill of Mill A} \]