Question

Determine whether you would reject or fail to reject the null hypothesis in

the following situations:

a. z = 1.99, two-tailed test at α = 0.05

b. z = 0.34, z* = 1.645

c. p = 0.03, α = 0.05

d. p = 0.015, α = 0.01

Answer #1

Solution,

a) This is two tailed test,

α = 0.05

z = 1.99

P( z > 1.99)

= 1 - P( z < 1.99)

= 1 - 0.9767

= 0.0233

P-value = 2 * P( z > 1.99)

= P-value = 2 * 0.0233

= P-value = 0.0466

Rejected the null hypothesis because P-value < 0.05

b) z = 0.34

z* = 1.645

Fail to rejected the null hypothesis because z value < z*

c) P-value = 0.03

α = 0.05

Rejected the null hypothesis because P-value < 0.05

d) P-value = 0.015

α = 0.01

Fail to rejected the null hypothesis because P-value > 0.05

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