If you use a 0.05 level of significance in a two-tail hypothesis test, what decision will you make if Z STAT= -/+1.86?
solution:
Test statistic = z =1.86
P(z > 1.86) = 1 - P(z < 1.86) = 1-0.9686=0.0314 using z table
P-value = 2*0.0314=0.0628
= 0.05
P-value >
do not Reject the null hypothesis .
P(z < -1.86) =0.0314 using z table
P-value = 2*0.0314=0.0628
= 0.05
P-value >
do not Reject the null hypothesis .
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