Answer:
The lower bound of the 95% confidence interval for the mean sale time for all homes in the neighborhood is of 160 days.
Step-by-step explanation:
We have that to find our [tex]\alpha[/tex] level, that is the subtraction of 1 by the confidence interval divided by 2. So:
[tex]\alpha = \frac{1 - 0.95}{2} = 0.025[/tex]
Now, we have to find z in the Ztable as such z has a pvalue of [tex]1 - \alpha[/tex].
That is z with a pvalue of [tex]1 - 0.025 = 0.975[/tex], so Z = 1.96.
Now, find the margin of error M as such
[tex]M = z\frac{\sigma}{\sqrt{n}}[/tex]
In which [tex]\sigma[/tex] is the standard deviation of the population and n is the size of the sample.
[tex]M = 1.96\frac{72}{\sqrt{22}} = 30[/tex]
The lower end of the interval is the sample mean subtracted by M. So it is 190 - 30 = 160 days
The lower bound of the 95% confidence interval for the mean sale time for all homes in the neighborhood is of 160 days.
