In: Finance
a.
A test statistic is the value used in a hypothesis test to decide whether to support or reject a null hypothesis. This statistic compares data from an experiment or sample to the results expected from the null hypothesis.
b.
The conclusion is the final decision of the hypothesis test. The conclusion must always be clearly stated, communicating the decision based on the components of the test. It is important to realize that we never prove or accept the null hypothesis.
a. A test statistic is the value used in a hypothesis test to decide whether to support or reject a null hypothesis.