The sequence of steps involved in testing a hypothesis are:

A. Select a suitable test statistic
B. Establish critical or rejection region
C. State the null and alternative hypothesis
D. State the level of significance (α)
E. Formulate a decision rule to evaluate the null hypothesis

Choose the correct answer from the options given below:

Correct option is B

The process of hypothesis testing in statistics follows a logical and sequential procedure:

C – State the null and alternative hypothesis: Begin by clearly stating the null hypothesis (H₀) and alternative hypothesis (H₁). This forms the foundation of hypothesis testing.

D – State the level of significance (α): Decide on the risk level for rejecting a true null hypothesis, typically 0.05 or 5%.

B – Establish the critical or rejection region: Based on α and the type of test (one-tailed or two-tailed), determine the threshold values beyond which H₀ will be rejected.

A – Select a suitable test statistic: Choose the correct statistical test (e.g., z-test, t-test, chi-square) depending on data type, sample size, and variance knowledge.

E – Formulate a decision rule: Use the test statistic and critical region to form a decision rule that tells whether to reject or fail to reject the null hypothesis.

This sequence ensures that hypothesis testing is done systematically, maintaining the integrity and reliability of statistical inference.

Information Booster:

• Hypothesis testing is central to inferential statistics, allowing researchers to draw conclusions about populations using sample data.

• The null hypothesis (H₀) usually indicates no effect or no difference.

• The alternative hypothesis (H₁) reflects the research claim.

• The level of significance (α) controls Type I Error, the probability of rejecting a true null hypothesis.

• The critical region is derived from α and determines boundaries for decision-making.

• Test statistics (e.g., t, z, F, χ²) are chosen based on sample size, variance, and distribution assumptions.

• The final decision rule compares the computed statistic with the critical value to accept or reject H₀.