What are the 4 conditions in order to use the distribution model?
- Fixed number of trials
- Trials are independent
- Probability of success is constant
- Only outcomes are success or failure
What happens when the probability is changed?
The significance level is halfed
and the critical region has an upper and lower tail
When is the null hypothesis rejected?
If the test statistics lower than the significance level
what is the key word to indicate it’s one tailed?
decreased or increased
what key word indicates its two tailed?
changed
what is the critical region?
area where if the test statistic falls in the Ho is rejected
What is the critical value?
- the last value < significance level
- The first value to fall within the region
what is the issue if the significance level is too high?
the null may be reject even if we was supposed to accept (do not reject)
eg. 20%
what is the issue if the significance level is too small
the null may be rejected even if it we should accept (not reject) - false
eg. 0.1%
what is significance level?
the maximum probability before the null is rejected
