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9.1 Fundamentals of Hypothesis Testing
9.1 Fundamentals of Hypothesis Testing
Hypothesis Testing:
One-Sample Tests
by: Sheena Mae Pagaran
“Is a statistical tool that is used to determine the validity of inference by
evaluating sample data from the overall population”
Sample 1:
“A critical value is a point on the distribution of the test statistic under the null
hypothesis that defines a set of values that call for rejecting the null
hypothesis.”
A Type I error occurs if you reject the null hypothesis, when it is true and
should not be rejected. A Type I error is a “false alarm.”
A Type II error occurs if you do not reject the null hypothesis, when it is false
and should be rejected. A Type II error represents a “missed opportunity” to
take some corrective action.
Type I: Confidence Coefficient