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Answer :
The confidence intervals for the mean square footage of apartments are:
a) At a 90% confidence level: (592.911, 617.089)
b) At a 99% confidence level: (586.03, 623.97)
c) At a 99.9% confidence level: (580.81, 629.19)
To calculate the confidence intervals for the mean square footage of apartments at different confidence levels, we will use the formula for a confidence interval for the population mean:
Confidence Interval = [tex]\bar X \pm Z * (\sigma / \sqrt n)[/tex]
Where:
- [tex]\bar X[/tex] is the sample mean (605)
- Z is the Z-score corresponding to the desired confidence level
- σ is the population standard deviation (72)
- n is the sample size (96)
a) 90% Confidence Level:
Z-score for a 90% confidence level is 1.645
Confidence Interval = 605 ± 1.645 * (72 / √96)
Confidence Interval = 605 ± 1.645 * (72 / 9.798)
Confidence Interval = 605 ± 1.645 * 7.35
Confidence Interval = 605 ± 12.089
Low endpoint: 605 - 12.089 = 592.911
High endpoint: 605 + 12.089 = 617.089
b) 99% Confidence Level:
Z-score for a 99% confidence level is 2.576
Confidence Interval = 605 ± 2.576 * (72 / √96)
Confidence Interval = 605 ± 2.576 * (72 / 9.798)
Confidence Interval = 605 ± 2.576 * 7.35
Confidence Interval = 605 ± 18.97
Low endpoint: 605 - 18.97 = 586.03
High endpoint: 605 + 18.97 = 623.97
c) 99.9% Confidence Level:
Z-score for a 99.9% confidence level is 3.291
Confidence Interval = 605 ± 3.291 * (72 / √96)
Confidence Interval = 605 ± 3.291 * (72 / 9.798)
Confidence Interval = 605 ± 3.291 * 7.35
Confidence Interval = 605 ± 24.19
Low endpoint: 605 - 24.19 = 580.81
High endpoint: 605 + 24.19 = 629.19
Therefore, the confidence intervals for the mean square footage of apartments are:
a) At a 90% confidence level: (592.911, 617.089)
b) At a 99% confidence level: (586.03, 623.97)
c) At a 99.9% confidence level: (580.81, 629.19)
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