A Computer Package Was Used to Generate the Following Printout $X =$

question 76

Multiple Choice

A computer package was used to generate the following printout for estimating the mean sale price of homes in a particular neighborhood.

$X =$ sale_price

SAMPLE MEAN OF $X = \quad 46,400$
SAMPLE STANDARD DEV $= 13,747$
SAMPLE SIZE OF X $= \quad 15$
CONFIDENCE $= \quad 90$

UPPER LIMIT $= 52,650.6$
SAMPLE MEAN OF X $= \quad 46,400$
LOWER LIMIT $= 40,149.4$

Which of the following is a practical interpretation of the interval above?

• A) 90% of the homes in this neighborhood have sale prices that fall between $40,149.40 and $52,650.60.
• B) We are 90% confident that the true sale price of all homes in this neighborhood fall between $40,149.40 and $52,650.60.
• C) We are 90% confident that the mean sale price of all homes in this neighborhood falls between $40,149.40 and $52,650.60.
• D) All are correct practical interpretations of this interval.

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Definitions:

Self-Love

The regard for one's own well-being and happiness, often considered as a positive trait.

Self-Serving Bias

A common cognitive bias that leads individuals to attribute their successes to internal factors while blaming external factors for their failures.

Bonus

An additional amount of payment given beyond what is due, usually as a reward for performance or as an incentive.

Taxed

Imposed with a financial charge or other levy by a governmental organization in order to fund various public expenditures.