A sequential probability ratio test accumulates the log-likelihood ratio for two specified simple statistical hypotheses until it reaches an upper or lower boundary. An upper crossing favors the alternative, a lower crossing favors the null, and observations continue between them. Error-calibrated boundaries are approximately and ; discrete overshoot means these approximations need calibration.
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The Sequential Probability Ratio Test (SPRT) is a statistical method used for hypothesis testing that allows for the continuous monitoring of data as it is collected. It is particularly useful in situations where data is gathered sequentially, and decisions need to be made about hypotheses based on the accumulating evidence. The SPRT was introduced by Abraham Wald in the 1940s.