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Basic Question 2 of 2

If the significance level of a test is the probability of incorrectly rejecting the null hypothesis, then the "power of a test" is defined as which of the following? Choose the best answer.

A. The probability of a Type II error
B. The probability of a Type I error
C. The probability of correctly rejecting the null hypothesis
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User Contributed Comments 1

User Comment
johntan1979 A is beta
B is alpha
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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

Learning Outcome Statements

explain hypothesis testing and its components, including statistical significance, Type I and Type II errors, and the power of a test

CFA® 2025 Level I Curriculum, Volume 1, Module 8.