If you use a 001 level of significance in a twotail hypothes

If you use a

0.01

level of significance in a (two-tail) hypothesis test, the decision rule for rejecting

H 0 : u = 13.9, if you use the Z test, is shown below.Reject H0 if ZSTAT < 2.58 or ZSTAT > +2.58

What is your decision if ZSTAT = -2.19?

A.

Since

ZSTAT

falls into the

nonrejectionnonrejection

region,

do not rejectdo not reject

Upper H 0 .H0.

B.

Since

ZSTAT

falls into the

rejectionrejection

region,

do not rejectdo not reject

Upper H 0 .H0.

C.

Since

ZSTAT

falls into the

rejectionrejection

region,

rejectreject

Upper H 0 .H0.

D.

Since

ZSTAT

falls into the

nonrejectionnonrejection

region,

rejectreject

Upper H 0 .H0.

Solution

Given

Reject H0 if ZSTAT is lessthan 2.58 or ZSTAT greaterthan +2.58.i.e.,if ZSTAT is in between 2.58 and  +2.58 then do not reject H0

Given case is if ZSTAT = -2.19

-2.19 is greaterthan 2.58 and lessthan +2.58.It is in between those two.

So,

ZSTAT falls into the nonrejection nonrejection region, do not rejectdo not reject Upper H 0 .H0.