After completing his analysis of the 22 prices from outlying areas, and 20 office prices of Sacramento, he will be able to find out if the office prices in surrounding area of Sacramento area is cheaper then the prices of Sacramento. Prices from Sacramento 600 760 890 580 950 440 876 998 555 765 985 725 490 875 495 560 580 775 890 755 Prices from surrounding area of Sacramento 960 650 690 580 850 540 775 898 500 465 450 785 780 490 775 495 660 580 775 890 900 560 Step 1: State the null hypothesis and the alternate hypothesis...
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Therefore the mean for office prices in surrounding area of Sacramento is not cheaper then the mean price of Sacramento. Based upon the information found in the cost analysis, office location prices are quite similar in the inner and outer rim areas. One can assume now with good probability that finding good office space for the real estate brokerage can be based solely upon choice without too much consideration on median cost for space...
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