Wednesday, February 3, 2016

Question 2 (5 points) Part (a) (1point) Please open the “Assignment 2 Real Estate.xls” file in…

Question 2 (5 points)

Part (a) (1point)

Please open the “Assignment 2 Real Estate.xls” file in Excel. Using alpha = 0.05, test the null hypothesis H0: µ1 = µ2., with a “t-Test: Two-Sample Assuming Unequal Variance” from the Data Analysis menu.

You must submit your Excel file as part of the assignment.

Part (b) (2 points)

What is your decision regarding the null hypothesis (“reject” or “do not reject”)? Explain on which cell in your Excel output you base your decision.

Note: Whenever you see a number such as 4.02583E-10 in Excel, that is scientific notation. Written in decimal form, that number is 0.000000000402583, i.e., it is very small.

Part (c) (2 points)

Interpret your result from part (b) at a level that would be understandable to a high school graduate who has not taken a college-level statistics course.

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