New 👉 Ask your RBI Grade B 2025 Preparation Queries Here!!

    Register

    Question

    A company wants to test whether their new marketing

    campaign has led to an increase in sales. The null hypothesis states that the campaign has no effect on sales, while the alternative hypothesis suggests that the campaign has increased sales. After conducting a statistical test, the p-value obtained is 0.03 . The significance level (α) is set at 0.05 . Based on this information, what is the correct conclusion?
    A Reject the null hypothesis because the p-value is greater than the significance level Correct Answer Incorrect Answer
    B Fail to reject the null hypothesis because the p-value is less than the significance level Correct Answer Incorrect Answer
    C Reject the null hypothesis because the p-value is less than the significance level Correct Answer Incorrect Answer
    D Accept the null hypothesis because the p-value is equal to the significance level Correct Answer Incorrect Answer
    E Fail to reject the null hypothesis because the p-value is greater than 0.05 Correct Answer Incorrect Answer

    Solution

    Explanation: In hypothesis testing, the null hypothesis (H₀) generally represents the idea that there is no effect or no difference (in this case, that the marketing campaign has no effect on sales). The alternative hypothesis (H₁) suggests that there is an effect (in this case, that the marketing campaign has increased sales).  

    • The p-value is a measure that helps determine the significance of the results. A low p-value (typically ≤ 0.05) indicates strong evidence against the null hypothesis, leading to rejection of H₀ .

    Practice Next