House Pricing and MBS.xlsx

	A	B	C	D	H	I	K	L	O	P	Q	R
1
2									Null Hypothesis 1 (H0): Home remodeling has no effect on sales price of a home. Alternate Hypothesis 1 (Ha): Home remodeling does have an impact on sales price of a home.
3					Id	Sum of SalePrice	Id	Sum of SalePrice
4	Null Hypothesis 1 (H0): Home remodeling has no effect on sales price of a home. Alternate Hypothesis 1 (Ha): Home remodeling does have an impact on sales price of a home.				3	$223,500	1	$208,500
5					4	$140,000	2	$181,500
6					6	$143,000	5	$250,000
7					7	$307,000	8	$200,000
8					9	$129,900	11	$129,500
9					10	$118,000	13	$144,000
10					12	$345,000	15	$157,000		t-Test: Two-Sample Assuming Unequal Variances
11					14	$279,500	17	$149,000
12		t-Test: Two-Sample Assuming Unequal Variances			16	$132,000	18	$90,000			Remodeled	Not Remodeled
13					20	$139,000	19	$159,000		Mean	$179,096.31	$182,721.03
14			Remodeled	Not Remodeled	21	$325,300	23	$230,000		Variance	7811568958	4952591796
15		Mean	$179,096.31	$182,721.03	22	$139,400	24	$129,900		Observations	696	739
16		Variance	7811568958	4952591796	25	$154,000	26	$256,300		Hypothesized Mean Difference	0
17		Observations	696	739	27	$134,800	33	$179,900		df	1327
18		Hypothesized Mean Difference	0		28	$306,000	34	$165,500		t Stat	-0.8561337204
19		df	1327		29	$207,500	35	$277,500		P(T<=t) one-tail	0.196039191
20		t Stat	-0.8561337204		30	$68,500	40	$82,000		t Critical one-tail	1.646002715
21		P(T<=t) one-tail	0.196039191		31	$40,000	41	$160,000		P(T<=t) two-tail	0.392078382	<0.05, no, not significant
22		t Critical one-tail	1.646002715		32	$149,350	42	$170,000		t Critical two-tail	1.961753283
23		P(T<=t) two-tail	0.392078382	<0.05, no, not significant	36	$309,000	43	$144,000
24		t Critical two-tail	1.961753283		37	$145,000	45	$141,000		total sample size	1435
25					38	$153,000	46	$319,900		mean difference	-$3,624.72
26		total sample size	1435		39	$109,000	47	$239,686		standard error of difference	4233.824117
27		mean difference	-$3,624.72		44	$130,250	48	$249,700
28		standard error of difference	4233.824117		49	$113,000	50	$127,000		margin of error	8305.718362
29					52	$114,500	51	$177,000		CI LOWER LIMIT	-$11,930.44	cannot use CI
30		margin of error	8305.718362		54	$385,000	53	$110,000		CI upper limit	$4,681.00
31		CI LOWER LIMIT	-$11,930.44	cannot use CI	57	$172,500	55	$130,000
32		CI upper limit	$4,681.00		62	$101,000	56	$180,500		So, there is not evidence of a statistically significant difference in the average sales prices for houses that were remodeled and houses that weren't.
33					64	$140,000	58	$196,500
34		So, there is not evidence of a statistically significant difference in the average sales prices for houses that were remodeled and houses that weren't.			65	$219,500	59	$438,780
35					66	$317,000	60	$124,900
36					67	$180,000	61	$158,000
37					69	$80,000	63	$202,500
38					72	$129,500	68	$226,000
39					74	$144,900	70	$225,000
40					75	$107,400	71	$244,000
41					78	$127,000	73	$185,000
42					80	$110,000	76	$91,000
43					85	$168,500	77	$135,750
44					86	$260,000	79	$136,500
45					89	$85,000	81	$193,500
46					90	$123,600	82	$153,500
47					93	$163,500	83	$245,000
48					94	$133,900	84	$126,500
49					99	$83,000	87	$174,000
50					101	$205,000	88	$164,500
51					105	$169,500	91	$109,900
52					106	$250,000	92	$98,600
53					107	$100,000	95	$204,750
54					108	$115,000	96	$185,000
55					109	$115,000	97	$214,000
56					111	$136,900	98	$94,750
57					115	$259,500	100	$128,950
58					118	$155,000	102	$178,000
59					120	$163,990	103	$118,964
60					122	$100,000	104	$198,900
61					125	$181,000	110	$190,000
62					126	$84,500	112	$180,000
63					128	$87,000	113	$383,970
64					130	$150,000	114	$217,000
65					133	$150,750	116	$176,000
66					134	$220,000	117	$139,000
67					135	$180,000	119	$320,000
68					138	$171,000	121	$180,000
69					139	$230,000	123	$136,000
70					146	$130,000	124	$153,900
71					147	$105,000	127	$128,000
72					149	$141,000	129	$155,000
73					150	$115,000	131	$226,000
74					152	$372,402	132	$244,000
75					154	$235,000	136	$174,000
76					155	$125,000	137	$143,000
77					156	$79,000	140	$231,500
78					158	$269,500	141	$115,000
79					159	$254,900	142	$260,000
80					160	$320,000	143	$166,000
81					162	$412,500	144	$204,000
82					165	$152,000	145	$125,000
83					166	$127,500	148	$222,500
84					167	$190,000	151	$122,000
85					171	$128,500	153	$190,000
86					176	$243,000	157	$109,500
87					177	$211,000	161	$162,500
88					179	$501,837	163	$220,000
89					180	$100,000	164	$103,200
90					182	$200,100	168	$325,624
91					183	$120,000	169	$183,500
92					185	$127,000	170	$228,000
93					186	$475,000	172	$215,000
94					187	$173,000	173	$239,000
95					188	$135,000	174	$163,000
96					190	$286,000	175	$184,000
97					191	$315,000	178	$172,500
98					192	$184,000	181	$177,000
99					198	$235,000	184	$200,000
100					199	$104,000	189	$153,337