This lesson on Testing of Hypothesis - Part II is a continuation from Part I and covers the basic terms required before delving into actual problems on testing of hypothesis. The lesson explains the process of testing a hypothesis and the situations that can arise from it. The two types of errors, type 1 and type 2, are also explained in detail along with their association with producer's and consumer's risk respectively. The probability of committing type 1 and type 2 errors, denoted by alpha and beta respectively, are also discussed.
This is a continuation of part I of the same topic. This completes explaining all the basic terms on this topic before actual lessons / problems on testing of hypothesis can be started.