SOLUTION: **Help** 12-4 A real estate agent in the coastal area of Georgia wants to compare the variation in the selling price of homes on the oceanfront with those one to three blocks from

SOLUTION: Help 12-4 A real estate agent in the coastal area of Georgia wants to compare the variation in the selling price of homes on the oceanfront with those one to three blocks from

Question 1202980: **Help** 12-4
A real estate agent in the coastal area of Georgia wants to compare the variation in the selling price of homes on the oceanfront with those one to three blocks from the ocean. A sample of 21 oceanfront homes sold within the last year revealed the standard deviation of the selling prices was $45,600. A sample of 18 homes, also sold within the last year, that were one to three blocks from the ocean revealed that the standard deviation was $21,330. At the 0.01 significance level, can we conclude that there is more variation in the selling prices of the oceanfront homes?

c. What is the decision rule? Use the 0.01 significance level. (Round your answer to 2 decimal places.)
d. What is the value of F? (Round your answer to 2 decimal places.)

Answer by Theo(13342) (Show Source): You can put this solution on YOUR website!
n1 = 21
n2 = 18
dof1 = 20
dof2 = 17
critical f-stat = 20/17 = 1.1765.
sd1 = 45600
sd2 = 21330
v1 = 45600^2
v2 = 21330^2
test f-stat = 45600^2 / 21330^2 = 4.57
test f-stat is greater than critical f-stat, therefore variation is assumed to be greater for sampe 1 than for saple 2, i.e. they are not equal.

here's a refeence.

http://www.statistics4u.com/fundstat_eng/cc_test_2sample_ftest.html

here's a critical f-stat calcjulator.

https://www.danielsoper.com/statcalc/calculator.aspx?id=4
RELATED QUESTIONS
A real estate agent in the coastal area of Georgia wants to compare the variation in the (answered by stanbon)

For selling a house, a real-estate agent receives 6% of the selling price. What was the... (answered by rfer)

A certain real-estate agent receives $6 for every &100 of a houses selling price. How... (answered by edjones)

A real estate agent agrees to sell a large apartment complex according to the following... (answered by josmiceli)

Elena must get at least $120,000 for her house in order to break even with the original... (answered by AnlytcPhil)

A real estate agent lets the selling price for homes of a particular size in a particular (answered by jim_thompson5910)

Question text A real estate agent lets the selling price for homes of a particular size... (answered by rothauserc)

Can someone please help me with this problem: Real Estate commission: The following (answered by jorel1380)

Patrick is selling his house through a real estate agent whose commission is 6% of the... (answered by rfer)