Homework Clinic
Mathematics Clinic => Statistics => Topic started by: Charlie on Jan 16, 2020
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The table shows the monthly rents (in dollars) for 10 studio apartments selected randomly from all studio apartments in one city.
950 840 1330 1020 1180
880 990 760 1250 825
Explain the algorithm in using the bootstrap method with 1000 resamples to obtain a 90% confidence interval for the mean monthly rent of all studio apartments in the city.
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The sample data is treated as the population. A computer is used to obtain 1000 independent resamples of size n = 10 with replacement from the sample data. For each resample, the sample mean is obtained. The lower bound of the confidence interval is the 5th percentile of the 1000 sample means and the upper bound is the 95th percentile of the 1000 sample means.
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Thank you!