Pat wants to compare the cost of one- and twobedroom apartments in the area of her college campus. She collects data for a random sample of 10 advertisements of each type. The table below shows the rents (in dollars per month) for the selected apartments.

1 bedroom: 500 650 600 505 450 550 515 495 650 395 2 bedroom: 595 500 580 650 675 675 750 500 495 670 Pat wonders if two-bedroom apartments rent for significantly more, on average, than one-bedroom apartments.

(a) State an appropriate pair of hypotheses for a significance test. Be sure to define any parameters you use.

(b) Name the appropriate test and show that the conditions for carrying out this test are met.

(c) The appropriate test from part

(b) yields a P-value of 0.029. Interpret this P-value in context.

(d) What conclusion should Pat draw at the a = 0.05 significance level? Explain.