In: Statistics and Probability
Find the P-value for the indicated hypothesis test with the given standardized test statistic, z. Decide whether to reject
Upper H0
for the given level of significance
alphaα.
Two-tailed test with test statistic
zequals=−2.18
and
alphaαequals=0.04
P-valueequals=
p-value=___ (round to four decimal places if needed)
state your conclusion.
fail to reject or reject h0
#38
Solution:
We have to find the P-value for the indicated hypothesis test with the given standardized test statistic, z
Two-tailed test with test statistic and z = - 2.18
Level of significance =
Since this is two tailed test, P-value is given by:
P-value = 2 X P( Z < z test statistic value)
( Note we use Z < z when z value is negative and Z > z when z is positive)
P-value = 2 X P( Z < -2.18)
Look in z table for z = -2.1 and 0.08 and find corresponding area.
P( Z < -2.18) = 0.0146
Thus P-value is:
P-value = 2 X P( Z < -2.18)
P-value = 2 X 0.0146
P-value = 0.0292
State your conclusion:
Since P-value = 0.0292 < 0.04 significance level, we reject null hypothesis H0.
Reject H0.