1. The null hypothesis from a break-even analysis should include the possibility that the methods are equally profitable.
2. A one-sided test of H0: m1 - μ2 ≤ 10 rejects H0 if 10 lies outside of the 95% confidence interval for μ1 - μ2.
3. If the standard two-sample t-test rejects H0: μ1 - μ2 . +100, then m1 is more than $100 larger than μ2.
4. If we double the size of both samples, we reduce the chance that we falsely reject the null hypothesis when using the two-sample t-test.
5. If the two-sample confidence interval for μ1 - μ2 includes 0, then we should conclude that μ1 = μ2.

  • CreatedJuly 14, 2015
  • Files Included
Post your question