Question

The following data are monthly rents (in dollars) of studio and one-bedroom apartments in Harrisburg, Pennsylvania, in 2007, obtained from a random sample of such apartments advertised at rent.com in July 2007: 500, 549, 569, 575, 585, 600, 630, 680, 705, 790 The mean of these ten rent prices is $618.3, and the standard deviation is $85.3. 1. Determine the standard error of the sample mean. 2. Describe what the population mean µ means in this context. 3. Determine a 95% confidence interval for µ. 4. Write a sentence interpreting what this interval means. 5. Would you expect about 95% of the studio and one-bedroom apartments in Harrisburg in July 2007 to have a rent price within this interval? Explain.

Answer 1