Discussion:
Q: The cost of a one-carat VS2 clarity, H color diamond from Diamond Source USA is $5600. A Midwestern jeweler makes calls to contacts in the diamond district of New York City to see whether the mean price of diamonds there differs from $5600.
a. Formulate hypotheses that can be used to determine whether the mean price in New York City differs from $5600.
b. A sample of 25 New York City contacts provided the prices shown in the attached file named diamonds. What is the p-value?
c. at a = .05, can the null hypothesis be rejected? What is your conclusion?
d. Repeat the preceding hypothesis test using the critical value approach.
| Price |
| 4620 |
| 6210 |
| 5150 |
| 5250 |
| 4840 |
| 6320 |
| 5450 |
| 5620 |
| 6140 |
| 5850 |
| 5640 |
| 6575 |
| 5940 |
| 5850 |
| 5825 |
| 5820 |
| 6850 |
| 6010 |
| 5960 |
| 5980 |
| 6330 |
| 5990 |
| 5995 |
| 6360 |
| 5300 |