Exercise 3-37 Static
While the housing market is in recession and is not likely to emerge anytime soon, real estate investment in college towns continues to promise good returns (The Wall Street Journal, September 24, 2010). Marcela Treisman works for an investment firm in Michigan. Her assignment is to analyze the rental market in Ann Arbor, which is home to the University of Michigan. She gathers data on monthly rent for 2011 along with the square footage of 40 homes. The data is shown in the accompanying table.


Monthly Rent Square Footage Monthly Rent Square Footage
645 500 1084 1163
675 648 1100 1020
760 700 1100 1150
800 903 1185 1225
820 817 1245 1368
850 920 1275 1400
855 900 1275 1350
859 886 1400 1185
900 1000 1450 1200
905 920 1500 1412
905 876 1518 1700
929 920 1600 1440
960 975 1635 1460
975 1100 1635 1460
990 940 1650 1170
995 1000 1750 1944
1029 1299 1950 2265
1039 1164 1975 1700
1049 1180 2200 4319
1050 1162 2400 2700
SOURCE: https://www.zillow.com.


Click here for the Excel Data File


a. Calculate the mean and the standard deviation for monthly rent. (Round your answers to 2 decimal places.)





b. Calculate the mean and the standard deviation for square footage. (Round your answers to 2 decimal places.)




c. Which sample data exhibit greater relative dispersion?


multiple choice
Monthly rent
Square footage