The average price of homes sold in the U.S. in 2012 was $240,000
The average price of homes sold in the U.S. in 2012 was $240,000. A sample of 144 homes sold in Chattanooga in 2012 showed an average price of $246,000. It is known that the standard deviation of the sample is $36,000. We are interested in determining whether or not the average price of homes sold in Chattanooga is significantly more than the national average.
-----------------------Look, I already understand how to find the test statistic. I know it is 2. I just do not get how to find the critical Value WITHOUT a TI 93 calculator just the z and t charts. Really the only thing I need explained is how on earth to find the critical value.
a. | State the null and alternative hypotheses to be tested. |
b. | Compute the test statistic. |
c. | The null hypothesis is to be tested at 95% confidence. Determine the critical value(s) for this test. |
d. | What do you conclude? |
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Solution: The average price of homes sold in the U.S. in 2012 was $240,000