Rent Of Properties paid by international students - Free Samples

Question: Discuss about the Rent Of Properties paid by international students. Answer: Section 1 This assignment looks at primary and secondary data on properties, in terms of their weekly rent, dwelling type( flat/house), no of bedrooms, and bond amount paid . It covers 4 different suburbs. It reports on a variety of questions relating to these parameters. ? In dataset 1, we use primary data on the basis of interview of 5 students on their weekly rent. This sample can be biased as it uses respondents from my university campus only, so that its applicability across Australia is questionable. The sample size is also low as we use only 5 respondents. It will be inappropriate to use this small dataset to make any conclusions about the whole University. ? Dataset 2 is larger as it has 500 observations. It is secondary data on weekly rent paid, dwelling type (flat/house), no of bedrooms, and bond amount paid . It covers 4 different suburbs, and provides their post codes as well. The first 5 cases of your dataset are shown below. BondAmount WeeklyRent DwellingType NumberBedrooms Postcode Suburb $2,900 $725 Flat 3 2031 RANDWICK $2,480 $620 Flat 1 2031 RANDWICK $1,960 $490 Flat 2 2150 PARRAMATTA $2,200 $550 Flat 2 2031 RANDWICK $2,280 $570 Flat 2 2031 RANDWICK Section 2 THE following table gives a numerical summary of the data. Median mean which implies negative skewed distribution. The data is left skewed. ?The spread of data is high at a variance of 1032.5. As we can see students 5 has highest rent of $165, while student 2 has lowest rent of $90. DATASET 1 Mean 128 Standard Error 14.3701079 Median 135 Mode #N/A Standard Deviation 32.132538 Sample Variance 1032.5 Kurtosis -2.35933845 Skewness -0.19064501 Range 75 Minimum 90 Maximum 165 Sum 640 Count 5 Section 3: Using the data relating to Dwelling Type, we show that there is predominance of flats- 462/500 stay in flats. The majority students stay in Parramatta. (163/500). In Sydney no student from our sample set stays in houses. SUBURB Flat House Grand Total AUBURN 38 19 57 PARRAMATTA 151 12 163 RANDWICK 117 7 124 SYDNEY 156 156 Grand Total 462 38 500 The bar chart shows the same information in a graphical form. The predominance of flats (in blue) is clear, as is the preference for Parramatta and Sydney. ? The proportion of House as a dwelling type is 38/500 = sample proportion= p Ho: p= 0.1 H1: p 0.1 Sample proportion = 38/500 = 0.076 Test value = (0.076 0.1)/ SE where SE = (0.076 *.924 /500)^.5 = 0.0118 Test value = - 0.024/0.0118 = -2.015. Using a 5% level of significance, the critical z value is -1.645. as test value is critical value in absolute terms we conclude that we do not accept the null hypothesis. There is evidence that proportion of Houses is less than 0.1. Those who want to rent a house can use this data to see that less than 10% of existing students stay in houses. In Sydney no one stays in houses. This points to some advantages of flats, which are beyond discussion here. A simple look at this data tells us that students prefer flat by an overwhelming majority. It is advisable to stay in flats than houses as students. ? Section 4: We now consider dwellings with 2 bedrooms only, and compare the weekly rent across different suburbs with average rent as the criteria. As we can see Auburn has the lowest average rent of $393.17, while Sydney has the highest average rent of $840.74. AUBURN PARRAMATTA RANDWICK SYDNEY Average of WeeklyRent 393.17 474.16 608.28 840.74 We can examine if these differences are significant in a statistical sense using ANOVA test. In the results below we can see that the p value of the F test value is almost zero. This implies that the differences are statistically different. Anova: Single Factor SUMMARY Groups Count Sum Average Variance Column 1 30 11795 393.1666667 2290.488506 Column 2 113 53580 474.159292 4371.831542 Column 3 79 48054 608.278481 11073.22915 Column 4 61 51285 840.7377049 14925.69672 ANOVA Source of Variation SS df MS F P-value F crit Between Groups 6522099 3 2174032.933 261.9743312 8.1542E-81 2.63696 Within Groups 2315323 279 8298.64866 Total 8837422 282 Since we are looking at 2 bedrooms rented places only, we can advise that in terms of rents Sydney is most expensive., while Auburn is less than half of Sydney rents. Section 5: We use a scatterplot to examine the relationship between weekly Rent and Bond Amount below. It is clear that there is strong linear association between them. We have some outliers ( around 3 data points as shown. The correlation coefficient is 0.953, which is very high. It shows a strong association, and also tells us 95.3% variation in rent is explained by variation in bond amount. This suggests that a higher bond value is likely to result in higher rents. Students may choose lower bond values if they want to stay at cheaper places. Section 6 A comparison of the weekly rent paid by international students and the weekly rent of properties on the market needs more data on students. This is because both datasets are samples. Their sizes are very different 5 and 500. This is why any conclusions based on them will be incorrect and imprecise. It is suggested that that the dataset for international students be expanded to include more data points as well as more information on bond amount, suburb, bedrooms, so that both sets are comparable. References Anon., n.d. How to choose no of bins. [Online] [Accessed 12 Sep 2017]. Anon., n.d. Hypothesis Testing. [Online] Available at: https://onlinecourses.science.psu.edu/statprogram/node/138 [Accessed 8 Sep 2017]. Anon., n.d. Hypothess testing. 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