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5. The confidence level is denoted by 1 – . is a. the probability that a confide

ID: 3221527 • Letter: 5

Question

5. The confidence level is denoted by 1 – . is

a. the probability that a confidence interval will contain the estimated population parameter.

b. the probability that a confidence interval will not contain the estimated population parameter.

c. the probability that a confidence interval will contain the sample statistic.

d. the probability that a confidence interval will not contain the sample statistic.

7. The t-statistic is used in hypothesis testing for a population mean when the actual population standard deviation is not known.

True

False

11. In a given hypothesis test, the null hypothesis can be rejected at the 0.10 and 0.05 level of significance, but cannot be rejected at the 0.01 level. The most accurate statement about the p-value for this test is

p-value = 0.01

p-value = 0.10

0.01 < p-value < 0.05

0.05 < p-value < 0.1

13. Which of the following is not true about the t-distribution?

It has a greater spread than the standard normal distribution.

It increasingly resembles the standard normal distribution as degrees of freedom increase.

It has a mean of zero.

It is not a symmetric distribution when degrees of freedom are sufficiently small

a.

p-value = 0.01

b.

p-value = 0.10

c.

0.01 < p-value < 0.05

d.

0.05 < p-value < 0.1

Explanation / Answer

5)

The significance level is the probability of making the wrong decision when the null hypothesis is true. Alpha levels (sometimes just called “significance levels”)

thus the answer is b. the probability that a confidence interval will not contain the estimated population parameter.

7)

The answer is true

the t-statistic is a ratio of the departure of an estimated parameter from its notional value and its standard error. It is used in hypothesis testing. For example, it is used in determining the population mean from a sampling distribution of sample means if the population standard deviation is unknown.

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