BUSI 1450U Chapter Notes - Chapter 11: Null Hypothesis, Type I And Type Ii Errors, Confidence Interval
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Through a process of hypothesis testing, we determine whether to reject or accept the hypothesis: hypothesis a tentative proposal or statement about a fact. It must be backed up by evidence: claim an assertion about facts, which can be formalized as a hypothesis for purposes of hypothesis testing. The core concepts for hypothesis tests: null hypothesis is a tentative assumption about a population parameter and is represented by h0. For example, average house price in oshawa = k: alternative hypothesis the opposite of null hypothesis, represented by h1. For example, average house price in oshawa k: h0 and h1 are logical opposites. It is represe(cid:374)ted (cid:271)y : critical values the boundaries that mark the beginning of the critical region. For a one tail test there is only one critical value on the tail that has the critical region): test statistic used to determine whether the sampling result falls in the critical region.
