Answer to Question #248852 in Statistics and Probability for Thafeng

Question

We wish to test H0 that the average family income of Manitoba families is at least R15.000 at level of significance α = 0.05. In order to test the null hypothesis a sample of size 1000 is selected from the population and the p-value of the test is determined to be 0.02. We then:

a.
Reject H0 because the data are sufficiently unusual if the null hypothesis were true

b.
Fail to reject H0 because the data are not sufficiently unusual if the null hypothesis were false

c.
Fail to reject H0 because the data are not sufficiently unusual if the null hypothesis were true

d.
Reject H0 because the data are sufficiently unusual if the null hypothesis were false

Answer 1

Answer: a. Reject H0 because the data are sufficiently unusual if the null hypothesis were true

Since p-value = 0.02 < level of significance α = 0.05, we have to reject the null hypothesis.