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Z Score problem?

A family moved to Orlando, FL and bought a home. They paid $254,876 for their house. In their neighborhood the mean price of a home is $267,985 with a standard deviation of $5,834. Calculate the z-score for the price of their home and indicate if the price they paid for their home usual or unusual?

1 Answer

Relevance
  • 3 years ago

    (254876 - 267985) / 5834

    Z = -2.25

    Unusual. More than two s.d. below mean.

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