Question

Before beginning a hypothesis test, an analyst specified a significance level of 0.10. Which of the...

Before beginning a hypothesis test, an analyst specified a significance level of 0.10. Which of the following is true?

There is a 90% chance that the alternative hypothesis is true.

There is a 90% chance that the confidence interval will include the true mean of the population.

There is a 10% chance of rejecting the null hypothesis when it is actually true.

There is a 90% chance of rejecting the null hypothesis when it is actually false.

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Answer #1

The significance level is nothing but the probability of rejecting a true null hypothesis, which is also known as the type I error.

We specify the significance level before we do any hypothesis test and try to keep it as minimum as possible. Here, the correct choice is,

3. There is a 10% chance of rejecting the null hypothesis when it is actually true.

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