An agent for a real estate company wanted to predict the monthly rent for apartments, based on the size of an apartment. The data are stored in Rent.
a. Construct a 95% confidence interval estimate of the mean monthly rental for all apartments that are 1,000 square feet in size.
b. Construct a 95% prediction interval of the monthly rental for an individual apartment that is 1,000 square feet in size.
c. Explain the difference in the results in (a) and (b).
For Information: Problem 13.9