Fire sale. A real estate agent notices that houses with fireplaces often fetch a premium in the

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Fire sale. A real estate agent notices that houses with fireplaces often fetch a premium in the market and wants to assess the difference in sales price of 60 homes that recently sold. The data and summary are shown in the table.

No Fireplace Fireplace 142,212 134,865 206,512 118,007 50,709 138,297 108,794 129,470 68,353 309,808 123,266 157,946 80,248 173,723 135,708 140,510 122,221 151,917 128,440 235,105,000 221,925 259,999 65,325 211,517 87,588 102,068 88,207 115,659 148,246 145,583 205,073 116,289 185,323 238,792 71,904 310,696 199,684 139,079 81,762 109,578 45,004 89,893 62,105 132,311 79,893 131,411 88,770 158,863 115,312 130,490 118,952 178,767 82,556 122,221 84,291 206,512 105,363 103,508 157,513 103,861 Mean 116,597.54 7,061,657.74 Median 112,053 136,581 Write a report summarizing the findings of the investigation.
Include appropriate visual and verbal displays of the distributions, and make a recommendation to the agent about the average premium that a fireplace is worth in this market.

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Business Statistics

ISBN: 9781292269313

4th Global Edition

Authors: Norean Sharpe, Richard De Veaux, Paul Velleman

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