SOLUTION: If the critical values for a statistical test are 1.96 and 1.96, determine if you would reject or fail to reject the null hypothesis in each of the following cases: a. z 1.06

Click here to see ALL problems on Probability-and-statistics

Question 628342: If the critical values for a statistical test are 1.96 and
1.96, determine if you would reject or fail to reject the
null hypothesis in each of the following cases:
a. z 1.06
b. z 2.06
c. A z score beyond which 7% of the data fall in each
tail
Answer by John10(297) (Show Source):
You can put this solution on YOUR website!
If the critical values for a statistical test are -1.96 and
1.96, determine if you would reject or fail to reject the
null hypothesis in each of the following cases:
a. z 1.06
b. z 2.06
c. A z score beyond which 7% of the data fall in each
tail
------------------------------------------

So we are testing using two tailed test. So we will reject the Ho (null hypothesis) when z < -1.96 or z > 1.96
a. z = 1.06
We fail to reject the null hypothesis in this case because z score does not belong to z < -1.96 or z >1.96
b. z = 2.06
We will reject the null hypothesis since the z-score is greater than 1.96.
c. A z score beyond which 7% of the data fall in each
tail
The critical values is -/+ 1.96 which is 95% level confidence (2 standard deviations by 68%-95%- 99.7% rule). so there is 5% left for both tails. So each tail will be 2.5%. If the z-score lies in 7% on each tail, that z-score will be in Rejected regions (z < -1.96 or z > 1.96). Thus we will reject the null hypothesis.