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Question: Identify the four steps of hypothesis testing.
• Hypothesis testing, or significance testing, is a method of testing a claim or hypothesis about a parameter in a population, using data measured in a sample. In this method, we test a hypothesis by determining the likelihood that a sample statistic would be selected if the hypothesis regarding the population parameter were true. The four steps of hypothesis testing are as follows:
Step 1: State the hypotheses.
Step 2: Set the criteria for a decision.
Step 3: Compute the test statistic.
Step 4: Make a decision.
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