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Question 27

Since Normality is required if we intend to use the data collected as a predictive tool. To test for Normality of data we must determine if the P-value is

___________.

    Correct Answer: C

    To test for normality of data, we typically use a significance level (α) of 0.05. If the p-value is greater than 0.05, it indicates that there is not enough evidence to reject the null hypothesis, meaning the data can be considered to follow a normal distribution. Therefore, the p-value should be greater than 0.05 to conclude that the data follows a normal distribution.

Discussion
InvisibleBeingOption: C

C is correct. To determine whether the data do not follow a normal distribution, compare the p-value to the significance level. Usually, a significance level (denoted as α or alpha) of 0.05 works well. A significance level of 0.05 indicates a 5% risk of concluding that the data do not follow a normal distribution when the data do follow a normal distribution. Null Hypothesis = Data follow normal distribution. Alternative Hypothesis = Data does not follow normal distribution. P-value ≤ α: The data do not follow a normal distribution (Reject H0) If the p-value is less than or equal to the significance level, the decision is to reject the null hypothesis and conclude that your data do not follow a normal distribution. P-value > α: You cannot conclude that the data do not follow a normal distribution (Fail to reject H0).