Commercial real estate prices and rental rates suffered substantial declines in 2008 and 2009. These declines were particularly severe in Asia; annual lease rates in Tokyo, Hong Kong, and Singapore declined by 40% or more. Even with such large declines, annual lease rates in Asia were still higher than those in many cities in Europe. Annual lease rates for a sample of 30 commercial properties in Hong Kong showed a mean of 1,114 per square meter with a standard deviation of 230. Annual lease rates for a sample of 40 commercial properties in Paris showed a mean lease rate of 989 per square meter with a standard deviation of 195. On the basis of the sample results, can we conclude that the mean annual lease rate is higher in Hong Kong than in Paris? Develop appropriate null and alternative hypotheses. At the 5% level of significance, what is your conclusion?

Conclusion

    The average rental rate in Hong Kong are higher than in Paris

Step-by-step explanation:

From the question we are told that

  The sample size for Hong Kong is  

  The mean for Hong Kong is

   The standard deviation for Hong Kong is

   The sample size for Paris is  

      The mean for Paris is

    The standard deviation for Paris is

      The level of significance is  

The Null Hypothesis is  

The alternative hypothesis is

The test statistics is mathematically represented as

Substituting values

Since the value of the test statistics is higher than the  significance level then there  is enough evidence to conclude that the average rental rate in Hong Kong are higher than in Paris

(sin 42)/31. = sinx)/37

sinx = 37 (sin42)/31

= 37× 0.66/31 = 0.787

x= 51.9

other angle opposite to y = 180-51.9-42

= 180- 93.9 =86.1

so

sin42)/31 = sin 86.1)/y

0.021 = 0.997 /y

y= 0.997/0.021 =47.47