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Commerce · Q58

Business Statistics and Research Methods

Graduate and Post Graduate · Commerce · question 58

Q58

A hypothesis test is being performed for a process in which a type I error will be very costly, but a type II error will be relatively inexpensive and unimportant. Which of the following would be the best choice for alpha (α) in this test?

A.
0.10
B.
0.05
C.
0.01
Answer
D.
0.50

Answer: Option C

Solution

Answer: Option C
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