Problem 3

A random sample of 10 one-bedroom apartments from your local newspaper has these monthly rents (dollars): 500, 650, 600, 505, 450, 550, 515, 495, 650, 395.

Do these data give good reason to believe that the mean rent of all advertised apartments is greater than $500 per month?

a.State hypotheses.

b.Find the mean and standard deviation using SPSS or Excel.

c.Compute the p-value and draw your conclusions.