Which of the following is an essential step in the process of hypothesis testing?

• A. Drawing conclusions before analyzing the data
• B. Collecting data without specifying any hypotheses
• C. Ignoring the significance level when making a decision
• D. Formulating the null $H_0$ and alternative $H_a$ hypotheses

Answer: (D)

Verified step by step guidance

1. Understand that hypothesis testing is a structured process used to make decisions about population parameters based on sample data.
2. Recognize that the first essential step in hypothesis testing is to clearly state the null hypothesis (\(H_0\)) and the alternative hypothesis (\(H_a\)). These hypotheses represent the default assumption and the claim you want to test, respectively.
3. Note that formulating these hypotheses before collecting or analyzing data ensures the test is objective and avoids bias.
4. Be aware that other steps, such as collecting data, choosing a significance level (\(\alpha\)), calculating a test statistic, and making a decision, come after the hypotheses are set.
5. Conclude that drawing conclusions before analyzing data, collecting data without hypotheses, or ignoring the significance level are incorrect practices that undermine the validity of hypothesis testing.