# Question

Suppose the Real Estate Commission for the state of Delaware would like to test the hypothesis that the average number of days a home is on the market in New Castle County is 60 days. To test this hypothesis, 32 homes sold during the year were selected and the number of days that the homes were on the market was recorded. Assume the standard deviation for the time on the market is 25 days.

a. Explain in your own words how Type I and Type II errors can occur in this hypothesis test.

b. Using σ = 0.05, calculate the probability of a Type II error occurring if the actual average time for a house on the market is 54 days.

c. Using σ = 0.05, calculate the probability of a Type II error occurring if the actual average time for a house on the market is 78 days.

d. Explain the differences in the results you calculated in parts b and c.

a. Explain in your own words how Type I and Type II errors can occur in this hypothesis test.

b. Using σ = 0.05, calculate the probability of a Type II error occurring if the actual average time for a house on the market is 54 days.

c. Using σ = 0.05, calculate the probability of a Type II error occurring if the actual average time for a house on the market is 78 days.

d. Explain the differences in the results you calculated in parts b and c.

## Answer to relevant Questions

Small businesses are viewed by many as the backbone of the U. S. economy. Small business owners are often described as entrepreneurs, requiring a variety of skills in order to be successful. A 2013 survey of small business ...Bob’s Sporting Goods believes the average age of its customers is 40 or less. A random sample of 60 customers was surveyed, and the average customer age was found to be 42.7 years. Assume the standard deviation for ...Consider the following hypothesis statement using α = 0.10 and data from two independent samples. Assume the population variances are not equal and the populations are normally distributed. a. Calculate the appropriate test ...An online travel agent who specializes in cruises wanted to compare the cost of cruising to different destinations on various cruise lines. The following random sample data show the average cost of a seven day cruise in a ...Consider the following hypothesis statement using α = 0.01 and data from two independent samples: a. Calculate the appropriate test statistic and interpret the result. b. Calculate the p value and interpret the result. c. ...Post your question

0