Houses in a certain area in a big city have a mean price of PhP4,000,000 but amedian price is only PhP2,500,000. How might you explain this best?

The discrepancy between the mean and median house prices in this area can be explained by the presence of a few very high-priced houses.

1. The mean, or average, is calculated by adding up all the house prices and dividing by the number of houses. This means that a few very high-priced houses can significantly increase the mean.

2. The median, on the other hand, is the middle value when all the house prices are arranged in ascending order. This means that it is not affected by a few very high or very low prices.

So, if there are a few houses that are much more expensive than the rest, they can pull the mean up, even if most houses are priced around or below the median. This is a common occurrence in areas where there is a wide disparity in house prices.