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A recent publication states that the average closing cost for purchasing a new home is $8431. A real estate agent believes the average closing cost is more than $8431. She selects 10 new home purchases and finds that the average closing costs are $8458 with a standard deviation of $250. Help her decide if she is correct by testing her claim at a=0.01. The correct hypotheses would be: Ο Η : μ $8431 HA:µ > $8431 (claim) O Ho: µ > $8431 HA:H < $8431 (claim) Ο Η: μ 8431 HA:H + $8431 (claim) Since the level of significance is 0.01 the critical value is 2.821 The test statistic is: (round to 3 places) The p-value is: (round to 3 places) The decision can be made to: O reject Ho O do not reject Ho The final conclusion is that: O There is enough evidence to reject the claim that the average closing cost is more than $8431. O There is not enough evidence to reject the claim that the average closing cost is more than $8431. O There is enough evidence to support the claim that the average closing cost is more than $8431. O There is not enough evidence to support the claim that the average closing cost is more than $8431.

A recent publication states that the average closing cost for purchasing a new home is $8431. A real estate agent believes the average closing cost is more than $8431. She selects 10 new home purchases and finds that the average closing costs are $8458 with a standard deviation of $250. Help her decide if she is correct by testing her claim at a=0.01. The correct hypotheses would be: Ο Η : μ $8431 HA:µ > $8431 (claim) O Ho: µ > $8431 HA:H < $8431 (claim) Ο Η: μ 8431 HA:H + $8431 (claim) Since the level of significance is 0.01 the critical value is 2.821 The test statistic is: (round to 3 places) The p-value is: (round to 3 places) The decision can be made to: O reject Ho O do not reject Ho The final conclusion is that: O There is enough evidence to reject the claim that the average closing cost is more than $8431. O There is not enough evidence to reject the claim that the average closing cost is more than $8431. O There is enough evidence to support the claim that the average closing cost is more than $8431. O There is not enough evidence to support the claim that the average closing cost is more than $8431.

MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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A recent publication states that the average closing cost for purchasing a new home is $8431. A real estate agent believes the average closing cost is more than $8431. She selects 10 new home purchases and finds that the average closing costs are $8458 with a standard deviation of $250. Help her decide if she is correct by testing her claim at a=0.01. The correct hypotheses would be: Ο Η: μ< $8431 HA: µ > $8431 (claim) Ο Η : μ > $8431 HA:µ < $8431 (claim) Ο H: μ $8431 HA: µ + $8431 (claim) Since the level of significance is 0.01 the critical value is 2.821 The test statistic is: (round to 3 places) The p-value is: (round to 3 places) The decision can be made to: O reject Ho O do not reject Ho The final conclusion is that: O There is enough evidence to reject the claim that the average closing cost is more than $8431. There is not enough evidence to reject the claim that the average closing cost is more than $8431. O There is enough evidence to support the claim that the average closing cost is more than $8431. O There is not enough evidence to support the claim that the average closing cost is more than $8431.
Transcribed Image Text:A recent publication states that the average closing cost for purchasing a new home is $8431. A real estate agent believes the average closing cost is more than $8431. She selects 10 new home purchases and finds that the average closing costs are $8458 with a standard deviation of $250. Help her decide if she is correct by testing her claim at a=0.01. The correct hypotheses would be: Ο Η: μ< $8431 HA: µ > $8431 (claim) Ο Η : μ > $8431 HA:µ < $8431 (claim) Ο H: μ $8431 HA: µ + $8431 (claim) Since the level of significance is 0.01 the critical value is 2.821 The test statistic is: (round to 3 places) The p-value is: (round to 3 places) The decision can be made to: O reject Ho O do not reject Ho The final conclusion is that: O There is enough evidence to reject the claim that the average closing cost is more than $8431. There is not enough evidence to reject the claim that the average closing cost is more than $8431. O There is enough evidence to support the claim that the average closing cost is more than $8431. O There is not enough evidence to support the claim that the average closing cost is more than $8431.
Expert Solution
Step 1

Given: μ=$8431, n=10, x=$8458, s=$250

The hypothesis is,

H0:μ≤$8431HA:μ>$8431

The test statistic is,

t=x-μsnt=8458-843125010t=2779.06t=0.342

Hence, the test statistic is 0.342.

 

 

 

 

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