Why should I choose AnalystNotes?
AnalystNotes specializes in helping candidates pass. Period.
Basic Question 6 of 13
What type of decision is reached when the calculated value of any test statistic falls in the critical region when a false null hypothesis is being tested?
B. a Type I error
C. a Type II error
A. a correct decision
B. a Type I error
C. a Type II error
User Contributed Comments 6
| User | Comment |
|---|---|
| virginia | When the calculated value falls in the critical region, you do not reject H0. Not rejecting H0 while it's false, shouldn't it be a Type II error? |
| tony1973 | if the test statistic falls in the critical region, you will reject the null hypothesis! As it is a false one, the decision is correct. |
| mtcfa | O think the wording here is tricky. A false null is always being tested. If it falls within the critical region (i.e. not outside, not significant), than the null cannot be rejected. |
| tssverma | yes..the question is testing whether the candidate understands the trick |
| mordja | Is not a trick. If you are testing a false null hypothesis (Ie you have previously found it to be false), and you now test it to find a statistically significant result then your previous decision is validated. I see no trick here, just need to be careful reading the question. |
| dybacis | Critical region is the set of all outcomes which cause the null hypothesis to be rejected. |
I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes
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.