SCENARIO 10-3 A real estate company is interested in testing whether the mean time that families in Gotham have been living in their current homes is less than families in Metropolis.Assume that the two population variances are equal.A random sample of 100 families from Gotham and a random sample of 150 families in Metropolis yield the following data on length of residence in current homes.
-Referring to Scenario 10-3, what is a point estimate in months of residence for the mean of the sampling distribution of the difference between the two sample means?
A)- 22
B)- 10
C)- 15

Question

SCENARIO 10-3 A real estate company is interested in testing whether the mean time that families in Gotham have been living in their current homes is less than families in Metropolis.Assume that the two population variances are equal.A random sample of 100 families from Gotham and a random sample of 150 families in Metropolis yield the following data on length of residence in current homes. 
-Referring to Scenario 10-3, what is a point estimate in months of residence for the mean of the sampling distribution of the difference between the two sample means?
A)- 22 
B)- 10 
C)- 15

Quizplus · Accepted Answer

To find the point estimate for the mean of the sampling distribution of the difference between the two sample means, we use the formula:

point estimate = (mean of sample 1) - (mean of sample 2)

The mean of the sample of 100 families from Gotham is 75 months and the mean of the sample of 150 families from Metropolis is 90 months.

Thus, the point estimate for the mean of the sampling distribution of the difference between the two sample means is:

point estimate = 75 - 90 = -15

We interpret this as meaning that, on average, families in Gotham have been living in their current homes 15 months less than families in Metropolis. However, since we are only estimating this from samples of the populations, there is some degree of uncertainty in our estimate.

SCENARIO 10-3 a Real Estate Company Is Interested in Testing