- 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 null hypothesis is most appropriately rejected when the p-value is ______.

A. negative

B. close to zero

C. close to one

**Explanation:**The p-value is the smallest level of significance at which the null hypothesis can be rejected. The smaller the p-value, the stronger the evidence against accepting the null hypothesis, P-values close to zero strongly suggest that the null hypothesis should be rejected.

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