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A person purchased 12 bags of sugar at the rate of Rs. 1200 per bag, 8 bags at the rate of Rs. 1500 per bag and 10 bags at the rate of Rs. 2100 per bag. What will be the average cost of all the bags together?

A person purchased 12 bags of sugar at the rate of Rs. 1200 per bag, 8 bags at the rate of Rs. 1500 per bag and 10 bags at the rate of Rs. 2100 per bag. What will be the average cost of all the bags together? Correct Answer Rs. 1580

GIVEN:

Total number of bags = 30 bags

CONCEPT:

When the product is the same but it’s price is different in different batches, then we calculate the weighted Average.

FORMULA USED:

Average = Sum of all numbers/Total numbers

Weighted Average = Sum of (number of bags × Average cost of bag)/Total numbers of Bags

CALCULATION:

Average cost of 12 bags = Rs. 1200

⇒ Sum of cost of 12 bags = 1200 × 12 = 14400

Average cost of 8 bags = Rs. 1500

⇒ Sum of cost of 8 bags = 1500 × 8 = 12000

Average cost of 10 bags = Rs. 2100

⇒ Sum of cost of 10 bags = 2100 × 10 = 21000

⇒ Sum of cost of 30 Bags = (14400 + 12000 + 21000) = 47400

⇒ Average cost of all 30 Bags = 47400/30 = Rs. 1580

∴ The average cost of all the bags together is Rs. 1580

Alternate method :

Weighted Average = /(12 + 8 + 10)

⇒ Average cost of all 30 Bags = (14400 + 12000 + 21000) /(30)

⇒ Average cost of all 30 Bags = 47400/30 = Rs. 1580

∴ The average cost of all the bags together is Rs. 1580

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