9. You test a null hypothesis Ho : = 121 against an alternative hypothesis H1 :
ID: 3359371 • Letter: 9
Question
9. You test a null hypothesis Ho : = 121 against an alternative hypothesis H1 : > 121 using = 0.01. Based on the population data (population standard deviation) you find a test-value of z 2.50. You should do the following: (a) Accept Ho because the critical value is larger than the test value. (b) Accept Ho because the critical value is smaller than the test value. (c) Accept Hi because the critical value is larger than the test value. (d) Accept H, because the critical value is smaller than the test value.Explanation / Answer
If the test-value is Z=2.50 , we reject the null hypothesis and accept Ho, because the critical value is smaller than the test value.
Why? because the Z corresponding to this 1-tailed test is 2.33. and our test-statistic is at 2.50, beyond the critical value.
d. Accept H1 , because the critical value is smaller than the test value
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