- CFA Exams
- CFA Level I Exam
- Topic 1. Quantitative Methods
- Learning Module 8. Hypothesis Testing
- Subject 2. Null Hypothesis and Alternative Hypothesis
CFA Practice Question
The supporters of Judge Hyde want to prove that she has the support of more than 60% of the voters in the district. To accomplish this, they take a random sample of 80 voters and find that 53 support Judge Hyde. For a hypothesis test at the 5% level of significance, the null hypothesis, H0, would be ______.
A. H0: p >= 0.6625
B. H0: p >= 0.60
C. H0: p <= 0.60
Explanation: Because the group wants to prove that more than 60% of voters support Judge Hyde, Ha is Ha: p > 0.6. Thus, the null hypothesis is H0: p <= 0.60.
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