MAT 240 Module Two Assignment Template
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Southern New Hampshire University *
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Feb 20, 2024
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Selling Price and Area Analysis for D.M. Pan National Real Estate Company
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Report: Selling Price and Area Analysis for D.M. Pan National Real Estate Company
Joshua D. King
Department of Mathematics, SNHU
MAT 240: Applied Statistics
Daniel Krywaruczenko
1/21/2024
Selling Price and Area Analysis for D.M. Pan National Real Estate Company
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Report: Selling Price and Area Analysis for D.M. Pan National Real Estate Company
Introduction
This report has been prepared to analyze the relationship between the selling price of properties versus their square footage within a particular region of the United States. Generate a Representative Sample of the Data
I selected the East South-Central region to use for analyzation. The mean home listing price for this region is $282,773. The median home listing price for this region is $260,250. The standard deviation of the listing price is 116,306.08. The mean square footage for this region is 2,410. The median square footage of this region is 2,188. The standard deviation of the square footage of homes for this region is 1059.26.
Analyze Your Sample
The mean home listing price found among the national average is $342,365 and the mean
home listing for the east south-central region is $282,773, so looking at the south-central region you can see that the level of home listing prices is lower than the national average. The median home listing price among the national average is $318,000 and for the east south-central region the listing price is $260,250, which is also lower than the national average. The standard deviation on the national level is 125,914 and the standard deviation found in the east south-
central region is 116,306.08. The data for the east south-central region may fall below the national averages but the data is within close enough relativity to be a good representation between the two different data sets. To obtain a fully random sample from the region that I selected, I had to first remove any data that was irrelevant to my region. After removing any irrelevant data, I used the random feature within Microsoft Excel. The software generated a random number for each county’s
Selling Price and Area Analysis for D.M. Pan National Real Estate Company
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average listing price. After having a random number assigned to each county, I then used the sort
function to list the rows from smaller to larger. After the data was sorted, I selected the first thirty samples and removed the rest. These 30 then became the samples used to obtain the information. Generate Scatterplot
1,000 2,000 3,000 4,000 5,000 6,000 7,000 - 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 f(x) = 106.04 x + 27181.39
Median Home Listing Price Versus Median Home Square Footage
Median Home Square Footage (ft2)
Median Home Listing Price ($US)
Observe Patterns
The x-axis defines the independent variable and represents the median home square footage. The y-axis is the dependent variable and represents the median home listing price. The median home listing price is dependent upon the median square footage, so as the square footage
increases so does the homes listing price. There is a medium correlation between x and y. The data is not directly clustered along a linear line, but most points are within relative distance to each other. The association that is seen in the scatterplot is the relativity of the median home listing price upon the square footage. Overall, the data points are consistent enough to be considered a linear line.
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Selling Price and Area Analysis for D.M. Pan National Real Estate Company
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Using the regression equation, y=106.04x+27181 and considering an 1,800 square foot you find a listing price of $218,053.
There are two potential outliers that were generated into the scatterplot. The outliers appeared in the scatterplot that was created because the data contained some unusually higher numbers. These outliers most likely represent a few larger square foot homes that are well above the normal square footage in that region, this leads to a higher listing price as well. These homes are above normal for the region and cause a likely outlier.