The Sales Manager at City Real Estate Company is interested indescribing the relationship between condo sales prices and thenumber of weeks the condo is on the market before its sells. He hascollected a random sample of 17 low end condos that have soldwithin the past three months. These data are as follows:
Weeks on the Market | Selling Price |
23 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 76,500.00 |
48 | $Â Â Â Â Â Â Â Â Â Â Â Â 102,000.00 |
9 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 53,000.00 |
26 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 84,200.00 |
20 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 73,000.00 |
40 | $Â Â Â Â Â Â Â Â Â Â Â Â 125,000.00 |
51 | $Â Â Â Â Â Â Â Â Â Â Â Â 109,000.00 |
18 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 60,000.00 |
25 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 87,000.00 |
62 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 94,000.00 |
33 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 76,000.00 |
11 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 90,000.00 |
15 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 61,000.00 |
26 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 86,000.00 |
27 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 70,000.00 |
56 | $Â Â Â Â Â Â Â Â Â Â Â Â 133,000.00 |
12 | $Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 93,000.00 |
- Develop a simple linear regression model to explain thevariation in selling price based on the number of weeks the condois on the market.
- Test to determine whether the regression slope coefficient issignificantly different from 0 using a significance level equal to0.05.
- Construct and intrepret a 95% confidence interval estimate forthe regression slope coefficient.
