According to the Federal Housing Finance Board, the mean price of a single-famil

Question

According to the Federal Housing Finance Board, the mean price of a single-family home two years ago was $299, 400. A real estate broker believes that because of the recent credit crunch, the mean price has decreased since then. After conducting a hypothesis test, the null hypothesis is not rejected. Which of the following is the proper conclusion in context of the situation? A. There is insufficient evidence to conclude that the mean price of a single-family home has increased from its level two years ago of $299, 400. B. There is sufficient evidence to conclude that the mean price of a single-family home has increased from its level two years ago of $299, 400. C. There is sufficient evidence to conclude that the mean price of a single-family home has decreased from its level two years ago of $299, 400. D. There is insufficient evidence to conclude that the mean price of a single-family home has decreased from its level two years ago of $299, 400.

Explanation / Answer

As the null hypothesis is not rejected, then the mean has not decreased. Hence,

OPTION D. There is not sufficient evidence to conclude that the mean price of a single-family home has decreased from its level two years ago of $299400. [ANSWER]

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.