7.19

Suppose a subdivision on the southwest side of Denver, Colorado, contains 1,500 houses. The subdivision was built in 1983. A sample of 100 houses is selected randomly and evaluated by an appraiser. If the mean appraised value of a house in this subdivision for all houses is $177,000, with a standard deviation of $8,500, what is the probability that the sample average is greater than $185,000?

 

N=1500

n=100

µ = 177000

= 8500

 ≥ 185000