Moderate

If 10% is added to each value of variable, the geometric mean of new variable is added by_______________?

Correct answer: B. 10%

  • A. 5%
  • B. 10%
  • C. No Change
  • D. 110%
  • E. 90%

Explanation

Multiplying every observation by 1.10 multiplies the geometric mean by 1.10 as well. Hence the new geometric mean is 110% of the old one, an increase of 10%.

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