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Seven donations were received at a village school: ₹100, ₹200, ₹300, ₹400, ₹500, ₹600 and ₹4,900. When the seven amounts are placed in increasing order, by how much does the average donation exceed the one standing fourth in that order?

Competition practiceAverages & Ages
  • A₹1,000
  • B₹400
  • C₹4,500
  • D₹600

Step-by-Step Solution

The seven donations add to ₹7,000, so the average is 7000/7 = ₹1,000. Placed in increasing order the amounts are 100, 200, 300, 400, 500, 600, 4900, and the fourth is ₹400. The average exceeds it by 1000 - 400 = ₹600. This is what a single very large value does: six of the seven donations sit below the average, which no longer describes a typical gift. ₹1,000 is the average itself and ₹400 the fourth donation - each is one half of the subtraction, not the answer. ₹4,500 is 4900 - 400, the gap between the largest donation and the fourth one.
Answer: D) ₹600

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