Chapter 10 and 11.1 Flashcards
A statement about population parameter subject to verification
Hypothesis
A procedure based on sample evidence ad probability theory to determine whether the hypothesis is a reasonable statement
Hypothesis testing
What is step 1 of testing a hypothesis
State the null hypothesis and alternate hypothesis. Null stated as H subscript 0, Alternative stated as H sub 1
A statement about the value of a population parameter developed for the purpose of testing with a sample data
Null Hypothesis
An inferrence about a population parameter based on sample data wen the null hypothesis is rejected
Alternate hypothesis
The probability of rejecting the hypothesis when it is true
Level of significance
A value, computed from sample information, used to determine whether to reject the null hypothesis
Test Statistic
A statement of the specific conditions under which the null hypothesis is rejected and the conditions under which it is not rejected.
Decision Rule
The dividing point between the region where the null hypothesis is rejected and the region where it is not rejected.
Critical Value
Type of error where we reject a true hypothesis
Type 1. The probability of making this error is represented with greek alpha or ɑ
Error where we fail to reject a null hypothesis.
Type 2. probability of making this error is represented by greek symbol beta or β
Name the 5 steps to testing a hypothesis
- State the null hypothesis and alternate hypotheisi
- Select the level of significance
- Select the test statistic
- Formulate the decision rule
- Make a decision
The probability of observing a sample value as extreme as, or more extreme than the value observed.
P value