Max is an economics student working on a research assignment to compare the monthly rental rates in Los Angeles with those in San Diego. For his research, Max recorded the price of boarding houses with various different facilities at random, which obtained the following data (in thousands): Los Angeles: 650 ; 580 ; 700 ; 720 ; 850 ; 630 ; 870 ; 810 ; 900 ; 550 ; 770 ; 750 San Diego: 920 ; 670 ; 850 ; 730 ; 950 ; 820 ; 610 ; 750 ; 950 ; 860From the references that Max read, it is known that the monthly rental price for boarding houses in Los Angeles has a population standard deviation of 50 thousand per month, while in San Diego it is 75 thousand per month. a. Compute a two-sided 95% confidence interval for the difference in the average monthly rental rates for boarding houses in Los Angeles and San Diego. b. Compute the 97.5% upper confidence interval (97.5% upper confidence interval) for the difference between the average monthly rental rates in Los Angeles and San Diego. c. Compute a lower confidence interval of 99% for the difference between the average monthly rental rates in Los Angeles and San Diego. d. Compute the Margin of Error (MOE) for the difference between the average monthly rental rates in Los Angeles and San Diego at the 98% confidence interval above.
Max is an economics student working on a research assignment to compare the monthly rental rates in Los Angeles with those in San Diego. For his research, Max recorded the price of boarding houses with various different facilities at random, which obtained the following data (in thousands):
Los Angeles: 650 ; 580 ; 700 ; 720 ; 850 ; 630 ; 870 ; 810 ; 900 ; 550 ; 770 ; 750
San Diego: 920 ; 670 ; 850 ; 730 ; 950 ; 820 ; 610 ; 750 ; 950 ; 860From the references that Max read, it is known that the monthly rental price for boarding houses in Los Angeles has a population standard deviation of 50 thousand per month, while in San Diego it is 75 thousand per month.
a. Compute a two-sided 95% confidence interval for the difference in the average monthly rental rates for boarding houses in Los Angeles and San Diego.
b. Compute the 97.5% upper confidence interval (97.5% upper confidence interval) for the difference between the average monthly rental rates in Los Angeles and San Diego.
c. Compute a lower confidence interval of 99% for the difference between the average monthly rental rates in Los Angeles and San Diego.
d. Compute the Margin of Error (MOE) for the difference between the average monthly rental rates in Los Angeles and San Diego at the 98% confidence interval above.
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