- CFA Exams
- CFA Exam: Level I 2021
- Study Session 3. Quantitative Methods (2)
- Reading 11. Hypothesis Testing
- Subject 6. The Decision Rule

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**CFA Practice Question**

When we test the null hypothesis, if we find that the calculated value of the test statistic is as extreme as or more extreme than a given value, we ______.

B. say the result is not statistically significant

C. accept the null hypothesis

A. reject the null hypothesis

B. say the result is not statistically significant

C. accept the null hypothesis

Correct Answer: A

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**User Contributed Comments**
5

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

dipu617 |
Any explanation from anybody? |

johntan1979 |
No, go do your part and read up. |

Shaan23 |
reed a lot notes. then you'll understand the mistakes in that sentence and be able to do the question |

tricorp |
Cake question |

zriddle |
Size of the calculated value is > rejection point (given value) = result is statistically significant and the null hypothesis should be rejected. |