Question

In a certain section of Southern California, the distribution of monthly rent for a one-bedroom apartment has a mean of $2,325 and a standard deviation of $270. The distribution of the monthly rent does not follow the normal distribution. In fact, it is positively skewed. What is the probability of selecting a sample of 50 one-bedroom apartments and finding the mean to be at least $2,245 per month

Answer 1

Answer:

0.982

Step-by-step explanation:

Given that:

Mean (μ) = 2325

Standard deviation (σ) = 270

From the central limit theorem ; the Distribution of 50 sample means will be normally distributed

Finding the mean to be at least $2245 per month;

x = 2245

Using the Z score relation :

Zscore = (x - μ) / (σ/√n)

Zscore = (2245 - 2325) / (270/√50)

Zscore = - 80 / 38.183766

ZSCORE = - 2.0951312

= - 2.1

P(Z > - 2.1) = 0.982 ( from the Z probability Calculator).