HYPOTHESIS TESTING

Hypothesis is testing a claim hypothesis about parameter in a population.

It is used in making statistical decisions using experimental data.
Types Of Hypothesis:
1)
Null Hypothesis
2)
Alternative Hypothesis
Terminology:
1)
Critical Region
2)
Level of Significance
3)
Critical Values
Truth about
TYPES OF HYPOTHESIS

Null Hypothesis – There is no difference between two samples.

Alternative Hypothesis – There is a difference between two samples.
TERMINOLOGY

Critical Region is also known as rejection region, is a set of values for which the null hypothesis is
rejected.

Level of Significance – Probability of rejecting the null hypothesis when it is true.

Critical Values – Is a point on the test distribution that is compared to the test statistics to
determine whether to reject the null hypothesis.
Testing hypothesis of Cases of Property
recovered and cases of property stolen
𝐻0 should be rejected in favor of
𝐻1 .
We can conclude that cases of
Property recovered and cases of
Property stolen is different.