# Merits and Demerits of Arithmetic Mean

__Merits__:

- It is rigidly defined.
- It is easy to calculate and simple to follow.
- It is based on all the abservations.
- It is determined for almost every kind of data.
- It is finite and not indefinite.
- It is readily put to algebraic treatment.
- It is least affected by fluctuations of sampling.

__Demerits__**:**

- The arithmetic mean is highly affected by extreme values.
- It cannot average the ratios and percentages properly.
- It is not an appropriate average for highly skewed distributions.
- It cannot be computed accurately if any item is missing.
- The mean sometimes does not coincide with any of the abserved value.