A real estate agent believes that the mean home price in the northern part of a county is higher than the me price in the southern part of the county and would like to test the claim. A simple random sample of housing prices is taken from each region. The results are shown below. Southern Northern Mean Variance 154.889 167.833 354.458 521.912 18 18 Observations Pooled Variance 438.185 Hypothesized Mean Difference 0 df 34 t Stat 1.885 p= Ex: 1.234 P(T<=t) one-tail 0.036 t Critical one-tail 1.691 P[T<=t) two-tail 0.072 2.032 -3 -2 -1 1 2 t Critical two-tail Confidence Level 95% 3 t = Ex: 1.234 n = Ex: 9 Degrees of freedom: df = Point estimate for the southern part of the county: ₁ = Ex: 1.234 Point estimate for the northern part of the county: ₂ = 0

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