ABSTRACT

This chapter traces how to carry out a significance test in order to test some theory about the population. It discusses that the lower the level of significance of a particular result, the less likely it is that the null hypothesis is true. The method of testing the data to see if the results are considerably or significantly better is called a significance test. A critical value of the test statistic can be calculated which will correspond to the chosen significance level. A variety of significance tests exist each of which is appropriate to a particular situation. F-test of significance test is widely used for comparing different estimates of variance, particularly in the analysis of variance. After carrying out a significance test, we have some evidence on which we have to decide whether or not to reject the null hypothesis.