statistics project #2

What is the mean cost of homes in Los Angeles, CA?

Introduction

In this project your task is to estimate the mean price of homes in Los Angeles using the methods you have learnt in chapter 9 (by means of creating a confidence interval for a population mean, namely the mean cost of homes in Los Angeles). Please refer to chapter 9 (sec 9.2) to review confidence intervals prior to working on this project.

For this project 'all homes listed for sale in Los Angeles area' is our population. We are going to take a sample of size 35 from this population to perform our inferential analysis.

Instructions:

Data Collection:

Take the following steps to collect your sample data and input it in statcrunch:

1. 1. Go to Zillow.com --> click on "Buy"--> "homes for sale" --> type in "Los Angeles, CA"--> click search. You can refine your search by selecting various attributes such as single story homes, condominium and etc. In your report itemize all attributes you have chosen for your study.
   2. For the sample data, we are going to register the home price along with its square footage. As you collect each data value, you can type it in a statcrunch spreadsheet. Collect a sample of size 35 using systematic sampling. To collect the sample, use systematic sampling with k=5. (To review the method for systematic sampling see page 32 of your textbook). You will be asked to write a short paragraph explaining how systematic sampling was used to collect your sample.
   3. Create a table like the one shown below for your sample and include it in your report. Your table should contain the home prices along with corresponding square footage of the home. This could be a screenshot of your inputted data in statcrunch columns.

Here's an example of how your sample data, organized in statcrunch, will look like. You can simply take a screenshot of your sample data and include it in your report.

Questions:

In your typed report provide answers to the following questions:

1. 1. What is the parameter in this analysis?
   2. What is a suitable point estimate for the parameter indicated in this analysis?
   3. Check and indicate the Normality conditions on your response. Clearly indicate what the required conditions are based on the parameter. See Chapter Notes sec 9.2 for Normality conditions.
   4. If you had only 15 homes in your sample data, that is if your sample size was 15, explain how you would assess normality.
   5. Use a 95% confidence level to construct a confidence interval for your estimate. (Use statcrunch and include a print out of statcrunch summary in your response) The confidence interval will be used to estimate the mean price of homes in Los Angeles. (Refer to section 9.2)
   6. Interpret the confidence interval in context.
   7. What is wrong with the following interpretation statement: There is a 95% chance that the mean price of homes in Los Angeles will be between the lower limit and upper limit of the 95% confidence interval that you have constructed.
   8. What is the margin of error? Clearly identify and interpret the margin of error in context.

Submission Notes:

• Your project should be typed.
• Use Statcrunch for computations or to generate tables and graphs, copy the statcrunch results/tables/graphs into your word document. All these should be included in your paper.
• Submit your project by uploading as a single pdf. or a word document. If you are working as a group, only one submission is required. Be sure to include the name of all group members on your report.
• If the project was completed as a group, at the end of the report clearly state the name of contributing members along with a brief description of who has done what.
• As a group review the grading rubric to make sure you have included everything that is required in your report.
• Here's a short tutorial on how to copy statcrunch results into a word document:

Additional Statcrunch Help Topics:

Statcrunch Tutorials

Rubric

Inferential Statistics - Project 2 (1)

Inferential Statistics - Project 2 (1)

Criteria	Ratings	Pts
This criterion is linked to a Learning OutcomeData Collection and Organization	5 pts Full Marks The sample is collected using a systematic sampling. The raw data is organized in a table. The steps and work involving the systematic sampling is included in the report. 3 pts Average The sample data is included in the report but there is no explanation on how systematic sampling was used to collect the sample. 0 pts No Marks	5 pts
This criterion is linked to a Learning OutcomeParameter Estimation	25 pts Full Marks 1. The parameter and the point estimate are identified. 2. Normality condition(s) are assessed and satisfied. 3. The confidence interval is constructed and interpreted based on the given confidence level. 4. A logical answer is provided to questions #4 and #7. 5. The margin of error is clearly identified, work is provided on how margin of error is calculated. An in-context interpretation for Margin of Error is provided. 0 pts No Marks	25 pts
This criterion is linked to a Learning OutcomeOverall QualityOverall quality of the report and adherence of the project guidelines	5 pts Full Marks Overall quality of the report and adherence of the project guidelines 0 pts No Marks	5 pts
Total Points: 35