The mean selling price (in $1000) of the homes (population) was computed earlier to be $221.10, with a standard deviation of $47.11. A 95% Confidence Interval for the mean selling price of the homes is $ 221.10 ± $ type your answer... (enter both answers in two decimal places)
Added by Kara F.
Close
Step 1
Step 1: The confidence interval is given by: $$\bar{x} \pm z_{\alpha/2} \frac{\sigma}{\sqrt{n}}$$ where: * $\bar{x}$ is the sample mean * $z_{\alpha/2}$ is the critical value for the given confidence level * $\sigma$ is the population standard deviation * $n$ is Show more…
Show all steps
Your feedback will help us improve your experience
Jerelyn Nevil and 51 other Intro Stats / AP Statistics educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Key Concepts
Recommended Videos
Russell is doing some research before buying his first house. He is looking at two different areas of the city, and he wants to know if there is a significant difference between the mean prices of homes in the two areas. For the 40 homes he samples in the first area, the mean home price is $199,100. Public records indicate that home prices in the first area have a population standard deviation of $31,435. For the 34 homes he samples in the second area, the mean home price is $165,700. Again, public records show that home prices in the second area have a population standard deviation of $32,235. Let Population 1 be homes in the first area and Population 2 be homes in the second area. Construct a 99% confidence interval for the true difference between the mean home prices in the two areas. Round the endpoints of the interval to the nearest whole number, if necessary.
Jerelyn N.
1. A government report on housing costs says that single-family home prices nationwide have a mean selling price of $235,700. We want to see how home prices in B County compare with those nationwide. A. A 90% confidence interval for the mean price of a sample of randomly chosen homes in B County is $233,954 < μ < $246,046. Does this interval provide evidence that single-family home prices are unusually high in B County? Explain. B. Suppose we want to collect a new sample. How many homes must we sample to have 90% confidence of estimating the mean local price to within $2,000? Assume the standard deviation is known to be approximately $25,500.
Sri K.
) The housing market has recovered slowly from the economic crisis of 2008. Recently, in one large community, realtors randomly sampled 45 bids from potential buyers to estimate the average loss in home value. The sample showed the average loss was $10,560 with a standard deviation of $1800.a) Find a 95% confidence interval for the mean loss in value per home. (Use your calculator to create this interval. Do not do the calculations by hand.)b) Interpret this interval.c) A neighborhood realtor predicted the average loss in value would be $11,000. Based on your interval in part b, is the realtor right or wrong?d) Suppose the standard deviation of the losses had been $3600 instead of $1800. What would the larger standard deviation do to the width of the confidence interval (assuming the same level of confidence)
Keondre P.
Recommended Textbooks
Elementary Statistics a Step by Step Approach
The Practice of Statistics for AP
Introductory Statistics
Transcript
18,000,000+
Students on Numerade
Trusted by students at 8,000+ universities
Watch the video solution with this free unlock.
EMAIL
PASSWORD