Question

Homework: 3-2 MyStatLab: Module Three Problem Set 9.2.50 5257 50D $279,900 $219,900

$236,900	?$279,900	?$219,900
$143,000	?$205,800	?$171,900
?$459,900	?$269,000	?$187,500
?$237,500	?$147,800	?$264,900

(a)Construct a 99% confidence interval with the outlier included.

($ lower bound?, $upper bound)(Round to the nearest integer as? needed.)

(b)Construct a 99?% confidence interval with the outlier removed. ($lower bound, $ upper bound)(Round to the nearest integer as? needed.)

(c)Comment on the effect the outlier has on the confidence interval.

I need help on A,B, and C. Thank you!

Answer 1

Answer Date: 03/04/2018 a) A 99% confidence interval for the mean cost with outlier which is $459 900 included is. By using MINITAB, find confidence interval with the help of following steps is: 1) Import the data. 2) Select the Stat and choose the Basic Statistics option 3) Select the 1 sample t and select Samples in Columns. 4) Click option button choose level of significance and alternative hypothesis. 5) ick Ok One-Sample T: Cost Variable Mean St Dev SE Mean 99% CI Cost 12 235333 84230 24315 (159816, 310851) From the MINITAB output, a 99% confidence interval for the mean cost with outlier which is $459900 included is $159816 to $310851 b)

A 99% confidence interval for the mean cost without outlier which is S459900 included 1S By using MINITAB, find confidence interval with the help of following steps is 1) Import the data. 2) Select the Stat and choose the Basic Statistics option. 3) Select the 1 sample t and select Samples in Columns 4) Click option button choose level of significance and alternative hypothesis 5) Click Ok. One-Sample T: Cost Variable NMean StDev SE Mean Cost 99% CI 11 214918 47986 14468 (169065, 260772) From the MINITAB output, a 99% confidence interval for the mean cost without outlier which is $459900 included is $169065 to $260772 c) The effect of outlier on confidence interval is width of confidence interval is narrower for 99% confidence interval for the mean cost without outlier which is $459900 included compare to 99% confidence interval for the mean cost with outlier which is $459900 included