Pat wants to compare the cost of one and two-bedroom apartments in the area of her college campus.Sh


Question: Pat wants to compare the cost of one and two-bedroom apartments in the area of her college campus.She collects data for a random sample of 10 advertisements of each type. Here are the rents

(in dollars per month):

One-bedroom: 500 650 600 505 450 550 515 495 650 395

Two-bedroom: 595 500 580 650 675 675 750 500 495 670

Pat wonders if two-bedroom apartments rent for significantly more, on average, than one-bedroom apartments. She decides to perform a test of H0: u1=u2 versus Ha:u1<u2 where u1 and u2 are the true mean rents for all one-bedroom and two bedroom apartments, respectively, near campus.

A) Name the appropriate test and show that the conditions for carrying out this test are met.

B) The appropriate test from part a yields a P-value of 0.058. Interpret this P-value in context

C) What conclusion should Pat draw at the α = 0.05 significance level? Explain.

Price: $2.99
Solution: The downloadable solution consists of 1 page
Type of Deliverable: Word Document

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