We’ll cover each part of this process throughout this section. Here’s where we’re headed: There are five steps for hypothesis testing: 1) State the null and alternative hypotheses, 2) Determine the level of significance, 3) Calculate the test statistic, 4) Find critical value(s), and 5) State the conclusion. This process is also called inferential statistics, because we’re using information we have about the sample to make inferences about the population.
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