This set of Probability and Statistics Multiple Choice Questions & Answers (MCQs) focuses on “Testing of Hypothesis”.

1. A statement made about a population for testing purpose is called?

a) Statistic

b) Hypothesis

c) Level of Significance

d) Test-Statistic

View Answer

Explanation: Hypothesis is a statement made about a population in general. It is then tested and correspondingly accepted if True and rejected if False.

2. If the assumed hypothesis is tested for rejection considering it to be true is called?

a) Null Hypothesis

b) Statistical Hypothesis

c) Simple Hypothesis

d) Composite Hypothesis

View Answer

Explanation: If the assumed hypothesis is tested for rejection considering it to be true is called Null Hypothesis. It gives the value of population parameter.

3. A statement whose validity is tested on the basis of a sample is called?

a) Null Hypothesis

b) Statistical Hypothesis

c) Simple Hypothesis

d) Composite Hypothesis

View Answer

Explanation: In testing of Hypothesis a statement whose validity is tested on the basis of a sample is called as Statistical Hypothesis. Its validity is tested with respect to a sample.

4. A hypothesis which defines the population distribution is called?

a) Null Hypothesis

b) Statistical Hypothesis

c) Simple Hypothesis

d) Composite Hypothesis

View Answer

Explanation: A hypothesis which defines the population distribution is called as Simple hypothesis. It specifies all parameter values.

5. If the null hypothesis is false then which of the following is accepted?

a) Null Hypothesis

b) Positive Hypothesis

c) Negative Hypothesis

d) Alternative Hypothesis.

View Answer

Explanation: If the null hypothesis is false then Alternative Hypothesis is accepted. It is also called as Research Hypothesis.

6. The rejection probability of Null Hypothesis when it is true is called as?

a) Level of Confidence

b) Level of Significance

c) Level of Margin

d) Level of Rejection

View Answer

Explanation: Level of Significance is defined as the probability of rejection of a True Null Hypothesis. Below this probability a Null Hypothesis is rejected.

7. The point where the Null Hypothesis gets rejected is called as?

a) Significant Value

b) Rejection Value

c) Acceptance Value

d) Critical Value

View Answer

Explanation: The point where the Null Hypothesis gets rejected is called as Critical Value. It is also called as dividing point for separation of the regions where hypothesis is accepted and rejected.

8. If the Critical region is evenly distributed then the test is referred as?

a) Two tailed

b) One tailed

c) Three tailed

d) Zero tailed

View Answer

Explanation: In two tailed test the Critical region is evenly distributed. One region contains the area where Null Hypothesis is accepted and another contains the area where it is rejected.

9. The type of test is defined by which of the following?

a) Null Hypothesis

b) Simple Hypothesis

c) Alternative Hypothesis

d) Composite Hypothesis

View Answer

Explanation: Alternative Hypothesis defines whether the test is one tailed or two tailed. It is also called as Research Hypothesis.

10. Which of the following is defined as the rule or formula to test a Null Hypothesis?

a) Test statistic

b) Population statistic

c) Variance statistic

d) Null statistic

View Answer

Explanation: Test statistic provides a basis for testing a Null Hypothesis. A test statistic is a random variable that is calculated from sample data and used in a hypothesis test.

11. Consider a hypothesis H_{0} where ϕ_{0} = 5 against H_{1} where ϕ_{1} > 5. The test is?

a) Right tailed

b) Left tailed

c) Center tailed

d) Cross tailed

View Answer

Explanation: In the given example since H

_{1}lies to the right of the H

_{o}that is the Null Hypothesis the test is referred as a Right tailed test.

12. Consider a hypothesis where H_{0} where ϕ_{0} = 23 against H_{1} where ϕ_{1} < 23. The test is?

a) Right tailed

b) Left tailed

c) Center tailed

d) Cross tailed

View Answer

Explanation: In the Normal Distribution curve of both the hypothesis the H

_{1}hypothesis lies to the left of the Null hypothesis hence the test is a Left tailed.

13. Type 1 error occurs when?

a) We reject H_{0} if it is True

b) We reject H_{0} if it is False

c) We accept H_{0} if it is True

d) We accept H_{0} if it is False

View Answer

Explanation: In Testing of Hypothesis Type 1 error occurs when we reject H

_{0}if it is True. On the contrary a Type 2 error occurs when we accept H

_{0}if it is False.

14. The probability of Type 1 error is referred as?

a) 1-α

b) β

c) α

d) 1-β

View Answer

Explanation: In Testing of Hypothesis Type 1 error occurs when we reject H

_{0}if it is True. The probability of H

_{0}is α then the error probability will be 1- α.

15. Alternative Hypothesis is also called as?

a) Composite hypothesis

b) Research Hypothesis

c) Simple Hypothesis

d) Null Hypothesis

View Answer

Explanation: Alternative Hypothesis is also called as Research Hypothesis. If the Null Hypothesis is false then Alternative Hypothesis is accepted.

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