- CFA Exams
- CFA Level I Exam
- Study Session 3. Quantitative Methods (2)
- Reading 11. Hypothesis Testing
- Subject 6. The Decision Rule

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**CFA Practice Question**

The smaller the p-value, ______

A. the weaker the evidence against the null hypothesis and in favor of the null hypothesis.

B. the stronger the evidence against the null hypothesis and in favor of the alternative hypothesis.

C. the weaker the evidence against the null hypothesis and in favor of the alternative hypothesis.

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**User Contributed Comments**
4

User |
Comment |
---|---|

danlan |
p value is the prob from test statistics to the end of tail |

poomie83 |
if p=0.001 that means there is a 1 in 1000 chance of the event being true - therefore strong evidence to reject the null |

joppy11 |
If the P is low, reject the Ho |

Kbull94 |
@ jopp11 that will help me remember p value definition! |