If a random sample of 28 homes south of Center Street in Provo has a mean
selling price of $145,450 and a standard deviation of $4775, and a
random sample of 25 homes north of Center Street has a mean selling
price of $148,300 and a standard deviation of $5900, can you conclude
that there is a significant difference between the selling price of
homes in these two areas of Provo at the 0.05 level?

Ho: Mean1 = Mean2

Ha: Mean 1 does not equal Mean2

x-bar1 (south of Center Street) = 145,500 s1 = 4775, n1 = 28

x-bar2 (north of Center Street) = 148,300 s2 = 5900, n2 = 25

test statistic for the test is (x1-bar - x2-bar)/sqrt(s1^2/n1 + s2^2/n2)

If you put the values into the formula and calculate correctly, you should get

t= -1.919

Make sure you understand how to get that

P-value was obtained from this site. http://www.socscistatistics.com/pvalues/tdistribution.aspx

Just enter the t-score of -1.919, 24 df two sides test and alpha = .05 and you get

.0670

b) the conclusion, since .0670 > .05, we have to accept Ho. So you
fail to reject Ho since there is not significant evidence of a
difference of means.

Remember when p-value > alpha, accept Ho and when p-value < alpha, reject Ho.

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