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1.

H0: The null hypothesis: It is a statement about the population that either is believed
to be true or is used to put forth an argument unless it can be shown to be incorrect
beyond a reasonable doubt. Ha: The alternative hypothesis: It is a claim about the
population that is contradictory to H0 and what we conclude when we reject H0. Since
the null and alternative hypotheses are contradictory, you must examine evidence to
decide if you have enough evidence to reject the null hypothesis or not. The evidence
is in the form of sample data.
2. A Two-tailed test is associated to an alternative hypotheses for which the sign of the
potential difference is unknown. For example, suppose we wish to compare the
averages of two samples A and B. Before setting up the experiment and running the
test, we expect that if a difference between the two averages is highlighted, we do not
really know whether A would be higher than B or the opposite. This drives us to
choose a two-tailed test, associated to the following alternative hypothesis: Ha:
average(A) ≠ average(B). Two-tailed tests are by far the most commonly used tests.
A One-tailed test is associated to an alternative hypothesis for which the sign of the
potential difference is known before running the experiment and the test. In the
example described above, the alternative hypothesis related to a one-tailed test could
be written as follows: average(A) < average(B) or average(A) > average(B),
depending on the expected direction of the difference.
3. The significance level, also denoted as alpha or α, is the probability of rejecting the
null hypothesis when it is true. For example, a significance level of 0.05 indicates a
5% risk of concluding that a difference exists when there is no actual difference.
4. The first kind of error is the mistaken rejection of a null hypothesis as the result of a
test procedure. This kind of error is called a type I error (false positive) and is
sometimes called an error of the first kind. In terms of the courtroom example, a type
I error corresponds to convicting an innocent defendant. The second kind of error is
the mistaken acceptance of the null hypothesis as the result of a test procedure. This
sort of error is called a type II error (false negative) and is also referred to as an error
of the second kind.
5. A confidence interval, in statistics, refers to the probability that
a population parameter will fall between a set of values for a certain proportion of
times.
6. A critical region, also known as the rejection region, is a set of values for the test
statistic for which the null hypothesis is rejected. i.e., if the observed test statistic is in
the critical region, then we reject the null hypothesis and accept the alternative
hypothesis.
7. A p-value, or probability value, is a number describing how likely it is that your data
would have occurred by random chance (i.e. that the null hypothesis is true).

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