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CFA Level 1
Quantitative Methods

Hypothesis Testing and P-values

Medium Hypothesis Testing P-values And Significance

A researcher is conducting a hypothesis test to determine if a new teaching method is more effective than the traditional method in improving student test scores. After collecting data from two groups of students, the researcher conducts a one-tailed t-test.

The null hypothesis ($H_0$) states that the mean difference in scores is less than or equal to zero ($ar{X}_{new} - ar{X}_{trad} \leq 0$), while the alternative hypothesis ($H_a$) states that the mean difference is greater than zero ($ar{X}_{new} - ar{X}_{trad} > 0$). The test yields a p-value of 0.03.

Based on a significance level of $\\alpha = 0.05$, what conclusion can the researcher draw regarding the effectiveness of the new teaching method?

Hint

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