Question

325,000 225,000 118,000339,000 89,900 475,000 124,900 119,900 79,900138,000 154,900 149,900 39,900 229,500 374,900 129,900 95,900 169.,900 159,900 78,90084,900 149,900 149,900 524,900 269,900 159,900 105,900 349,000 54,900 309,000 144,900 395,000 239,000 159,900 304,900 Objective 2 (20 points) 1. Compute the following The average home price for your sample The standard deviation home price 2 Using complete sentences, define the random variable X 3. State the estimated distribution to use Use complete sentences and symbols where appropiate Objective 3 (20 points) Respond to each of the following 1 Calculate the 90% confidence interval and the margin of error 2. Interpret this confidence interval Using your data set, calculate four additional confidence intervals and margins of error at the levels of confidence given below 1. 50% 2 8090 З 95% 4. 99% What happens to the margin of error as the confidence level increases? Does the width of the confidence interval increase or decrease? Explan why this happens.

Answer 1

Home Prices 2 325000225000 118000 339000 89900 475000 124900 119900 79900 138000 154900149900 39900 309000 144900 229500 374900 129900 95900 169900 15990078900 84900 395000 239000 149900149900 524900 269900 159900 105900349000 54900 159900 304900 4 10 Average home price 200574.3 11 Standard deviation121803.6 12

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