Question

what is the significance level (alpha) commonly used in hypothesis testing?
a. 0.5
b. 0.05
c. 0.01
d. 0.1

Explanation:

In hypothesis testing, the significance level (alpha) represents the probability of rejecting the null hypothesis when it is actually true (Type - I error). A significance level of 0.05 is very common. It strikes a balance between being too lenient (like 0.1 or 0.5) and too strict (like 0.01) in terms of allowing for Type - I errors.

Answer:

B. 0.05