Discuss the 8 steps of hypothesis testing?

Question description

This week you will begin working on Phase 3 of your course project. Using the same data set and variables for your selected topic, add the following information to your analysis:

  1. Discuss the process for hypothesis testing.
    • Discuss the 8 steps of hypothesis testing?
    • When performing the 8 steps for hypothesis testing, which method do you prefer; P-Value method or Critical Value method? Why?
  1. Perform the hypothesis test.
    • If you selected Option 1:
      • Original Claim: The average salary for all jobs in Minnesota is less than $65,000.
      • Test the claim using α = 0.05 and assume your data is normally distributed and σ is unknown.
      • Based on your selected topic, answer the following:
        1. Write the null and alternative hypothesis symbolically and identify which hypothesis is the claim.
        2. Is the test two-tailed, left-tailed, or right-tailed? Explain.
        3. Which test statistic will you use for your hypothesis test; z-test or t-test? Explain.
        4. What is the value of the test-statistic? What is the P-value?
        5. What is the critical value?
        6. What is your decision; reject the null or do not reject the null?
          1. Explain why you made your decision including the results for your p-value and the critical value.
        7. State the final conclusion in non-technical terms.
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