I am really confused about hypothesis testing, and H0 and H1!
Can someone explain it using the following 2 questions:
1. A game of chance is designed so that each person has a 40% chance of winning. Ten people play the game and seven people win. Is this enough evidence at a 10% significance level to suggest that the probability of winning is in fact greater than 40%?
2. A person has a 15% chance of recovering naturally from a certain type of disease. If a new drug is trialled on 15 people and 4 recover, is this enough evidence at a 10% significance level to suggest that the new drug is effective?
Thanks