Question

tony is a loan officer. he determines his clients’ eligibility for loans and for good interest rates by using their credit scores. the scores of several clients are shown in the following table.

name	experian	equifax	transunion
paula	634	732	771
jeff	721	760	754
peter	666	716	707

help tony evaluate his applicants based on their mean and median credit scores.
a. jeff has the highest mean score, but paula has the highest median score.
b. neil has the highest mean score, but jeff has the highest median score.
c. neil has the highest mean score and the highest median score.
d. paula has the highest mean score, but jeff has the highest median score.

Explanation:

Step1: Calculate Mean for Each Client

• Neil: $\frac{726 + 752 + 822}{3} = \frac{2300}{3} \approx 766.67$
• Paula: $\frac{634 + 732 + 771}{3} = \frac{2137}{3} \approx 712.33$
• Jeff: $\frac{721 + 760 + 754}{3} = \frac{2235}{3} = 745$
• Peter: $\frac{666 + 716 + 707}{3} = \frac{2089}{3} \approx 696.33$

Step2: Calculate Median for Each Client

• Neil: Sort scores: 726, 752, 822. Median = 752.
• Paula: Sort scores: 634, 732, 771. Median = 732.
• Jeff: Sort scores: 721, 754, 760. Median = 754.
• Peter: Sort scores: 666, 707, 716. Median = 707.

Step3: Compare Mean and Median

• Highest mean: Neil ($\approx 766.67$)
• Highest median: Jeff (754)

Answer:

b. Neil has the highest mean score, but Jeff has the highest median score.