Now, here is the crunch. We can answer this question by looking up Binomial tables. The resulting probability is called the P -value of the test. In this example, first calculation of the P -value is . It is time to reject the null hypothesis in favour of the alternate.
All statistical tests work in a way similar to that outlined above.
The null hypothesis is an innocuous, boring, trivial statement. The result that the researcher is trying to demonstrate. The response is the same for the treatment as for the placebo. The response is different for the treatment than for the placebo. Sometimes we look up standard normal, sometimes T , or F tables.