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A certain company will purchase the house of any employee who is transferred out of state and will handle all details of reselling the house.

A certain company will purchase the house of any employee who is transferred out of state and will handle all details of reselling the house. The purchase price is based on two assessments, one assessor being chosen by the employee and one by the company. Based on the sample of eight assessments shown, do the two assessors agree? Use the .10 level of significance.

Assessments of Eight Homes ($ thousands)
Assessed by Home 1 Home 2 Home3 Home 4 Home 5 Home 6 Home 7 Home 8
Company 326 340 450 275 299 282 540 741
Employee 310 342 473 281 301 280 530 775

(a)Choose the appropriate hypotheses. Assumed= company assessed value - employee assessed value. multiple choice 1

  • H0:d= 0 versusH1:d 0.
  • H0:d 0 versusH1:d= 0.

(b)State the decision rule for .10 level of significance.(Round your answers to 2 decimal places. A negative value should be indicated by a minus sign.) Reject the null hypothesis iftcalc< ortcalc> . (c-1)Find the test statistictcalc.(Round your answer to 2 decimal places. A negative value should be indicated by a minus sign.) tcalc (c-2)What is your conclusion? We (Click to select) reject fail to reject the null hypothesis.

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