A total of 232 college students in six different courses in three departments participated in a study to examine the effect of perceived course mean on course and instructor evaluations. Following a midsemester exam, students were given their actual earned exam scores and a manipulated class mean that was either ten percentage points higher or lower than the actual class average on the exam. Participants then completed an evaluation of the course and instructor. It was hypothesized that students scoring above the manipulated mean would rate the course and instructor more highly than students scoring below the manipulated mean. It was further hypothesized that students who were told that the class mean was higher would rate the course and instructor more highly than students who were told that the mean was lower. Results supported the first hypothesis. However, hypothesis two was not supported. Students receiving the lower manipulated class mean rated instructors more favorably. Results suggest the need to consider both individual exam scores and class averages in understanding the grade-teaching evaluation relationship.