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The average cost per night of a hotel room in New York City is $273 (SmartMoney, March 2009). Assume this estimate is based on a sample of 45 hotels and that the sample standard deviation is $65.
a) With 95% confidence, what is the margin of error (to 2 decimals)?
b) What is the 95% confidence interval estimate of the population mean?
c) Two years ago the average cost of a hotel room in New York City was $229. Discuss the change in cost over the two-year period.
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