Perform a five-step hypothesis test:
H0: The average price of a large home a(bove two-thousand square feet) is equal to the average price of a small home (below two-thousand square feet).
H1: The larger the home the higher the price
[Please refer to the attachment for the Real Estate Data].
See the attached file.© BrainMass Inc. brainmass.com June 4, 2020, 12:28 am ad1c9bdddf
The solution provides step-by-step method of performing a two-tailed hypothesis test on real estate data. All the steps of hypothesis testing (formulation of null and alternate hypotheses, selection of significance level, choosing the appropriate test-statistic, decision rule, calculation of test-statistic and conclusion) have been explained and the statistical analysis has been shown in details. The calculations have also been shown in EXCEL for better understanding.