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Question
A local Chamber of Commerce would like to test the hypothesis that the average monthly rent for a one-bedroom apartment in York is different from the average rent of a one-bedroom apartment in Lancaster. The following data summarizes the sample statistics for one-bedroom apartment rents for both locations. Assume that the population variances are equal.| Lancaster | York | |
| Sample mean | $830 | $770 |
| Sample size | 14 | 18 |
| Sample standard deviation | $75 | $65 |
Define Population 1 as Lancaster apartments and Population 2 as York apartments. Construct a 95% confidence interval for the difference in population mean and interpret the results.
Answer
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