In: Statistics and Probability
According to the 2019 National Apartment List Rent Report, the average two-bedroom apartment rent in New Jersey is $1,531. A random sample of 39 apartments in New Jersey was selected. Using a population standard deviation of $227, what is the probability that the sample mean will be greater than $1,450
Solution :
Given that ,
mean =
= 1531
standard deviation =
= 227
=
/
n = 227 /
39 = 36.3491
P(
> 1450) = 1 - P(
< 1450)
= 1 - P[(
-
) /
< (1450 - 1531) / 36.3491]
= 1 - P(z < -2.23)
= 1 - 0.0129
= 0.9871
Probability = 0.9871