A real estate agency, located in a metropolitan area in Canada., kept data on the various types of properties purchased in the area. Historically, 15% of purchases were for condominiums, 30% were for townhouses, 40% for single family homes, 10% for commercial properties, and 5% for land. With changing demographics, the agency wondered if the current distribution matches the historical distribution. Recent data showed the following:
a. State appropriate hypotheses to test whether the purchasing agent is correct.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = 0.05.

Question

A real estate agency, located in a metropolitan area in Canada., kept data on the various types of properties purchased in the area. Historically, 15% of purchases were for condominiums, 30% were for townhouses, 40% for single family homes, 10% for commercial properties, and 5% for land. With changing demographics, the agency wondered if the current distribution matches the historical distribution. Recent data showed the following:
  a. State appropriate hypotheses to test whether the purchasing agent is correct.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = 0.05.

Quizplus · Accepted Answer

The Answer of A real estate agency, located in a metropolitan area in Canada., kept data on the various types of properties purchased in the area. Historically, 15% of purchases were for condominiums, 30% were for townhouses, 40% for single family homes, 10% for commercial properties, and 5% for land. With changing demographics, the agency wondered if the current distribution matches the historical distribution. Recent data showed the following:
  a. State appropriate hypotheses to test whether the purchasing agent is correct.
b. What is the value of the test statistic and its associated P-value?
c. State the conclusion at α = 0.05.

A Real Estate Agency, Located in a Metropolitan Area in Canada