A newspaper in a large Midwestern city reported that the National Association of Realtors said that the mean home price last year was $116800. The city housing department feels that this figure is too low. They randomly selected 63 homes sales and obtained a sample mean price of $118,900. Assume that the population standard deviation is $3,700. Using a 5% level of significance, perform a hypothesis test to determine whether the population mean is higher than $116,800.

STEP 1.H0: $H1: $NOTE: For

enter /=

STEP 2.This test is (e) left-tailed, (f) two-tailed or (g) right-tailed test.

This test is(enter e, f or g)

STEP 3.The critical value (s) is

Use the following chart to identify the critical value (s)

Left-tailedTwo-tailedRight tailed

=10%z = -1.28 (A)z=1.65

z=1.65(B)z =1.28 (C)

=5%z = -1.65 (D)z=1.96

z=1.96(E)z = 1.65 (F)

=1%z = -2.33 (G)z=2.58

z=2.58(H)z = 2.33 (I)

The critical value (s) is/are(Enter a letter A through I)

STEP 4.The test statistics is(Enter a z-score rounded to two decimal places)

The test statistics is z = [g]

STEP 5.Make the decision.

A: Reject the null hypothesis

B: Do not reject the null hypothesis.

The decision is(Enter A or B)