i. To prevent bias, the level of significance is selected before setting up the decision rule and sampling the population. ii. The level of significance is the probability that a true hypothesis is rejected.
iii. If the critical values of the test statistic z are 1.96, they are the dividing points between the areas of rejection and non-rejection.
A) (i) , (ii) , and (iii) are all correct statements.
B) (i) is a correct statement but not (ii) or (iii) .
C) (i) and (iii) are correct statements but not (ii) .
D) (i) and (ii) are correct statements but not (iii) .
E) (ii) and (iii) are correct statements but not (i) .
Correct Answer:
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