Question

A random sample of 10 one-bedroom apartments from your local newspaper has these monthly rents (dollars):

500 650 600 505 450 550 515 495 650 395

Do these data give good reason to believe that the mean rent of all advertised apartments is greater than $500 per month? Carry out a complete significance test.

Answer 1

can we assume a normal distribution? if so, then what criteria should we be looking for?

Answer 2

yes we can assume a normal distribution @amistre64

Answer 3

@Nnesha

Answer 4

@Zarkon

Answer 5

@dan915

Answer 6

okay start with the mean, what is the mean of this data

Answer 7

The mean is 531

Answer 8

now find the sample standard deviation

Answer 9

82.79157

Answer 10

thats quite a bit of deviation right

Answer 11

yes haha