Question
1. A real-estate appraiser wants to verify the market value for homes on the east side of the city that are very similar to size
1. A real-estate appraiser wants to verify the market value for homes on the east side of the city that are very similar to size and style. The appraiser wants to test the popular belief that the average sales price is $37.80 per square foot for such homes. Suppose that a random sample of six sales were selected. The sampled sales prices per square foot are $35.00, $38.10, $37.20, $29.80, $30.30, and $35.40. Assuming a normal distribution is a good model for sales, test the claim that the mean sales price per square foot differs from $37.80 at the 1% significance level
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