Which of the following is the first step in hypothesis testing?

By: Prof. Dr. Fazal Rehman | Last updated: February 3, 2024

Question: Which of the following is the first step in hypothesis testing?

A   Conducting data analysis

B   Formulating a null hypothesis (H0) and an alternative hypothesis (H1)

C   Collecting data

D   Calculating the test statistic

Answer: Formulating a null hypothesis (H0) and an alternative hypothesis (H1)

                  Steps                              Description
 1 State the Null Hypothesis ·        Formulate a null hypothesis (H0) that represents no difference.
2 State the Alternative Hypothesis ·        Formulate an alternative hypothesis (H1) that represents the statement you want to test.
2 Collect Data ·        Collect the relevant data through observations, experiments and surveys.
 3 Set Significance level (α) ·        Significance level (α) represents the threshold for considering results statistically significant.

·        Common values for α include 0.05 and 0.01, indicating the probability of making a Type I error (false positive).

4 Calculate a test statistic ·        Perform a statistical test that corresponds to the hypothesis being tested e.g., t-test, chi-squared test, ANOVA.

·        Calculate the test statistic and determine the p-value associated with the test.

5 Analyzing the results ·        Compare the p-value to the chosen significance level (α).

·        If p ≤ α, the results are statistically significant.

·        If p > α, the results are not statistically significant, and you fail to reject the null hypothesis.

6 Making a decision ·        If p ≤ α, reject the null hypothesis in favor of the alternative hypothesis (H1).

·        If p > α, fail to reject the null hypothesis as there is not enough evidence to support the alternative hypothesis.

7 Draw Conclusions ·        Report the results, including the test statistic, p-value and whether the null hypothesis was rejected or not.

 

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