A real estate agent Irina Zubinina was asked to analyze the…
Question A real estate agent Irina Zubinina was asked to analyze the… A real estate agent Irina Zubinina was asked to analyze the one-bedroom condo prices in the GTA. She took a random sample of 13 condos in High Park and another random sample of 20 condos in Distillery District. The sample means (in $ thousands) are ¯x1=626x¯1=626 for High Park and ¯x2=582x¯2=582 for Distillery District. Historically, the population standard deviations (in $ thousands) are σ1=98σ1=98 for High Park and σ2=70σ2=70 for Distillery District. Could Irina Zubinina claim at a 5% level of significance that the average price in High Park is higher than the average price in Distillery District? Use the zz-test for independent samples and the formula, zst=(¯x1−¯x2)−(μ1−μ2)√σ21n1+σ22n2zst=(x¯1-x¯2)-(μ1-μ2)σ12n1+σ22n2 Note: The nature of the distributions and availability of σ1σ1 and σ2σ2 allow us to use zz- approach, though both samples are comparatively small.(a) State the null and alternative hypotheses, and identify which one is the claim.H0H0: Select an answer x̄₁ – μ₂ μ₁ – x̄₂ x̄₁ – x̄₂ μ₁ – μ₂ ? ≤ < ≠ = > ≥ H1H1: Select an answer μ₁ – x̄₂ x̄₁ – x̄₂ μ₁ – μ₂ x̄₁ – μ₂ ? ≤ < ≥ ≠ > = Which one is the claim?H1H1H0H0 (b) Find the critical value(s). In the first box please indicate the sign(s), and in the second box enter the numeric value.In part (b) your answer should contain 3 decimal places.Critical Value(s) = ? + ± − (c) What is the test statistic?For part (c), use the correct sign for the test statistic and round your answer to 3 decimal places.zst=zst= (d) Does the test statistic fall into rejection region? ? No Yes (e) What is the short version of your conclusion (in terms of H0H0 and H1H1)? Support H0H0 (claim) and support H1H1Reject H0H0 and support H1H1 (claim)Fail to support H0H0 and reject H1H1 (claim)Fail to reject H0H0 and fail to support H1H1 (claim)Reject H0H0 and fail to support H1H1 (claim)(f) Select the correct statement. I have an evidence that the average price in High Park is the same or lower than the average price in Distillery District.At a 5% level of significance, the sample data support the claim that the average price in High Park is higher than the average price in Distillery District.At a 5% level of significance, there is not sufficient sample evidence to support the claim that the average price in High Park is higher than the average price in Distillery District.I proved that the average price in High Park is lower than the average price in Distillery District. Math Statistics and Probability MATHS MDM-01 Share QuestionEmailCopy link Comments (0)
