An agent for a real estate company in a suburb has the business objective of developing more accurate estimates of the monthly rental cost for apartments. The agent would like to use the size of an apartment, as defined by square footage to predict the monthly rental cost. The agent collects data from a sample of 30 one-bedroom apartments. Complete parts (a) through (c). Click the icon to view the data table. a. Construct a 95% confidence interval estimate of the mean monthly rental for all one-bedroom apartments that are 786 square feet in size (Type integers or decimals. Round to two decimal places as needed. Use ascending order.) b. Construct a 95% prediction interval of the monthly rental for an individual one-bedroom apartment that is 786 square feet in size. (Type integers or decimals. Round to two decimal places as needed. Use ascending order.) c. Explain the differences in the results from (a) and (b). O A. Since there is more variation in predicting an individual value than in estimating a mean value, the prediction interval is wider than the confidence interval, holding everything else fixed. OB. Since there is more variation in predicting an individual value than in estimating a mean value, the prediction interval is narrower than the confidence interval, holding everything else fixed. OC. Since there is more variation in estimating a mean value than in predicting an individual value, the confidence interval is narrower than the prediction interval, holding everything else fixed. OD. Since there is more variation in estimating a mean value than in predicting an individual value, the confidence interval is wider than the prediction interval, holding everything else fixed.
An agent for a real estate company in a suburb has the business objective of developing more accurate estimates of the monthly rental cost for apartments. The agent would like to use the size of an apartment, as defined by square footage to predict the monthly rental cost. The agent collects data from a sample of 30 one-bedroom apartments. Complete parts (a) through (c). Click the icon to view the data table. a. Construct a 95% confidence interval estimate of the mean monthly rental for all one-bedroom apartments that are 786 square feet in size (Type integers or decimals. Round to two decimal places as needed. Use ascending order.) b. Construct a 95% prediction interval of the monthly rental for an individual one-bedroom apartment that is 786 square feet in size. (Type integers or decimals. Round to two decimal places as needed. Use ascending order.) c. Explain the differences in the results from (a) and (b). O A. Since there is more variation in predicting an individual value than in estimating a mean value, the prediction interval is wider than the confidence interval, holding everything else fixed. OB. Since there is more variation in predicting an individual value than in estimating a mean value, the prediction interval is narrower than the confidence interval, holding everything else fixed. OC. Since there is more variation in estimating a mean value than in predicting an individual value, the confidence interval is narrower than the prediction interval, holding everything else fixed. OD. Since there is more variation in estimating a mean value than in predicting an individual value, the confidence interval is wider than the prediction interval, holding everything else fixed.
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
Related questions
Question
Transcribed Image Text:Apartment Size (sq feet)
Rent ($)
1
530
1114
2
622
1170
653
1176
4
824
1420
449
1195
6
544
1216
7
767
1489
8
826
1504
9
1070
1511
10
603
1668
11
832
1795
12
652
1637
13
598
1453
14
663
1403
15
747
1148
16
828
1144
17
899
1226
18
636
1424
19
648
1534
20
830
1099
21
807
1139
22
817
1248
23
933
1447
24
799
1164
25
777
1229
26
948
1381
27
764
1158
28
686
1093
29
842
1365
30
836
1536
Transcribed Image Text:An agent for a real estate company in a suburb has the business objective of developing more accurate estimates of the monthly rental cost for apartments. The agent would like to use the size of an apartment, as defined by square footage to predict the monthly rental cost. The agent
collects data from a sample of 30 one-bedroom apartments. Complete parts (a) through (c).
Click the icon to view the data table.
.....
a. Construct a 95% confidence interval estimate of the mean monthly rental for all one-bedroom apartments that are 786 square feet in size.
= 786
(Type integers or decimals. Round to two decimal places as needed. Use ascending order.)
b. Construct a 95% prediction interval of the monthly rental for an individual one-bedroom apartment that is 786 square feet in size.
sYx=78
(Type integers or decimals. Round to two decimal places as needed. Use ascending order.)
c. Explain the differences in the results from (a) and (b).
A. Since there is more variation in predicting an individual value than in estimating a mean value, the prediction interval is wider than the confidence interval, holding everything else fixed.
B. Since there is more variation in predicting an individual value than in estimating a mean value, the prediction interval is narrower than the confidence interval, holding everything else fixed.
C. Since there is more variation in estimating a mean value than in predicting an individual value, the confidence interval is narrower than the prediction interval, holding everything else fixed.
D. Since there is more variation in estimating a mean value than in predicting an individual value, the confidence interval is wider than the prediction interval, holding everything else fixed.
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