Hypothesis Testing Procedure PT 1
Hypothesis Testing Procedure PT 1
TESTING
Statistics and Probability
LESSON OBJECTIVES
Reject or Do Not
Reject?
Hypothesis
HOW TO TEST A HYPOTHESIS
To test a statistical hypothesis, one can perform the
following procedure.
01 02 03
State the null and Select a level of Select the
alternative significance appropriate test
hypotheses statistic
04 05 06
Formulate the Compute the Make a decision
decision rule value of the test
statistic
01
State the Null or Alternative
Hypothesis
Null hypothesis, denoted by 𝑯∅ or H null, is a
statement saying that there is no significant
difference between the population mean and the
value that is being claimed ( 𝜇 = 𝜇1 ) . It is the
hypothesis to be tested.
Alternative hypothesis denoted by 𝑯𝒂 , is
a statement saying that there is a significant
difference between the population mean
and the value that is being claimed. This
hypothesis contains either a “<”, “>”, or “≠”.
NULL HYPOTHESIS VS. ALTERNATIVE
HYPOTHESIS
NULL ALTERNATIVE
In a criminal trial, the null In the case that 𝑯𝟎 is rejected,
hypothesis is the statement the alternative hypothesis will be
saying that the defendant is true. Thus, the decision that “the
not guilty. defendant is guilty” follows.
QUICK TIP!
In stating the null hypothesis, look for the population mean or
proportion in the problem and use an equal sign =
In stating the alternative hypothesis, look for words or phrases
such as “is different”, “is greater than”, “is less than”, “increase”,
or “decrease”.
If the phrase is “is different”, use the inequality symbol ≠
If the phrase is “is greater than” or “is more than”, or “increase”
use the greater than symbol >
If the phrase is “is less than” or “decrease” use the less than
symbol <
Note: Most likely if the problem states more in
percentage, use p and if otherwise, use μ.
Example 1
The manager of a TV station claims that the mean
number of people watching their new sitcom in Manila
is 500,000 each day. A student researcher who wants
statistical evidence on this claim conducted her own
survey. Her survey resulted to a mean of 499,995.
Using a 0.05 level of significance, can it be concluded
that the mean number of people watching the new
sitcom is less than 500,000?
Null Hypothesis (𝑯∅ ) :
The mean number of people watching the new sitcom
in Manila is 500,000 each day 𝜇 = 500,000
Alternative Hypothesis (𝑯𝒂 ) :
The mean number of people watching the new sitcom
in Manila is less than 500,000 each day 𝜇 < 500,000
Example 2
The LB Company produces an average of 4%
defective bulbs each day. Recently, some of the
machines were upgraded. Out of 400 bulbs randomly
selected, only 18 bulbs were found defective. Does
this suggest that there is an increase in the number of
defective bulbs produced each day?
In this module, you will learn the two most used test statistic,
z-test and t-test.
Z-Test
A z-test is a statistical test used for large sample, where the
sample size n is greater than or equal to 30 (𝑛 ≥ 30) and the
population standard deviation 𝜎 is known.
𝑥ҧ − 𝜇 𝑥ҧ − 𝜇
𝑧= 𝜎 𝑧= 𝑠
𝑜𝑟
𝑛 𝑛
Population variance is known Population variance is unknown
where: 𝒙
ഥ is the sample mean
𝝁 is the population mean
𝝈 is the population standard deviation
𝒔 is the sample standard deviation
𝒏 is the sample size
T-Test
A t-test, on the other hand, is a statistical test used for
small sample, where the sample size n is less than 30 (𝑛 <
30) and the population standard deviation 𝜎 is unknown.
𝑥ҧ − 𝜇
𝑡= 𝑠
𝑛
where: 𝒙
ഥ is the sample mean
𝝁 is the population mean
𝝈 is the population standard deviation
𝒔 is the sample standard deviation
𝒏 is the sample size
04
Formulate the decision rule
The decision rule indicates the condition or
conditions where the null hypothesis is rejected. It
depends on whether the alternative hypothesis is
two-sided (with inequality symbol ≠) or follows a
two-tailed test, or one-sided (with symbol < or >)
or one-tailed test.
Part of formulating the
decision rule is identifying the
The critical value is a particular point in the
critical value and the rejection rejection region that separates it from the
region. rest of the values. The critical value depends
on the level of significance of the test and
the distribution of the test statistic.
The rejection
region is the set
of values of the
test statistic
that result in the
rejection of the
null hypothesis.
05
Compute the value of the Test
Statistic
In computing the value of the test statistic, you
will identify the given values in the problem and
substitute those numbers to the appropriate test
statistic, and compute.
06
Make a decision
If the value of the test statistic falls within
the rejection region, reject 𝑯𝟎 in favor of the
alternative hypothesis. Otherwise, do not reject 𝑯𝟎 .
Claim: 𝑯𝟎 Claim: 𝑯𝒂