If a marketing manager wants to be 95 percent certain of a result in a statistical test, the significance level should be set at:
A)0.95
B)0.02
C)0.03
D)0.04
E)0.05

Question

Quizplus · Accepted Answer

The significance level is the probability of rejecting the null hypothesis when it is actually true. A significance level of 0.05 means that there is a 5% chance of rejecting the null hypothesis when it is actually true. To be 95% certain of a result in a statistical test, the significance level should be set at 0.05.

If a Marketing Manager Wants to Be 95 Percent Certain