Average Pay Calculation at a Local Burger Joint | CFA Level 1 Exam Prep

Average Pay Calculation at a Local Burger Joint

Prev Question Next Question

Question

At a local burger joint, 3 workers receive $5.3 per hour, 4 workers receive $4.9 per hour and 2 workers receive $8.1 per hour. The average pay of a worker at the joint is ________.

Answers

Explanations

Click on the arrows to vote for the correct answer

A. B. C. D.

C

There are 3 + 4 + 2 = 9 workers. The total wages paid equal 3*5.3 + 4*4.9 + 2*8.1 = $51.7. The average pay equals 51.7/9 = $5.74

To calculate the average pay of a worker at the burger joint, we need to find the total pay for all the workers and then divide it by the total number of workers.

Let's calculate the total pay for each group of workers first:

Group 1: 3 workers receiving $5.3 per hour Total pay for Group 1 = 3 workers * $5.3 per hour = $15.9

Group 2: 4 workers receiving $4.9 per hour Total pay for Group 2 = 4 workers * $4.9 per hour = $19.6

Group 3: 2 workers receiving $8.1 per hour Total pay for Group 3 = 2 workers * $8.1 per hour = $16.2

Now, let's calculate the total number of workers:

Total number of workers = 3 workers + 4 workers + 2 workers = 9 workers

Next, we'll calculate the total pay for all the workers:

Total pay = Total pay for Group 1 + Total pay for Group 2 + Total pay for Group 3 = $15.9 + $19.6 + $16.2 = $51.7

Finally, we'll calculate the average pay per worker:

Average pay per worker = Total pay / Total number of workers = $51.7 / 9 workers ≈ $5.74

Therefore, the average pay of a worker at the burger joint is approximately $5.74.

The correct answer is C. $5.74.