Business Statistics

106 Business Statistics

Example 3.24 The area sales manager of a pharmaceutical company decided to invest

some portion of his savings in the share market. He took a decision to in-

vest Rs 30,000 in the share market. In this process in the rst 6 months

he bought shares at the price of Rs 100, 150, 180, 250, 290, and 310 per

month. After 6 months, what will be the average price paid by him for

purchasing these shares?

Solution The value of shares change month after month, which is why the required tool

of computing average is the harmonic mean. Hence, the average price paid by

him for purchasing the shares can be computed as shown in Table ...