Question

A rental agent claims that the mean monthly rent, µ, for apartments on the east side of town is less than $725. A random sample of 9 monthly rents for

apartments on the east side has a mean of $715, with a standard deviation of $21. If we assume that the monthly rents for apartments on the east side are normally distributed, is there enough evidence to conclude, at the 0.05 level of significance, that u is less than $725?

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