Question

The customer help center in your company receives calls from customers who need help with some of the customized software solutions your company provides. Your company claims that the average waiting time is seven minutes at the busiest times, 8 a.m. to 10 a.m., Monday through Thursday. One of your main clients has recently complained that every time she calls during the busy hours, the waiting time exceeds seven minutes. You conduct a statistical study to determine the average waiting time with a sample of 35 calls for which you obtain an average waiting time of 8.15 minutes. If the value of your test statistic is less than the critical value, the correct decision is to _____.

A. increase the sample size
B. reduce the sample size
C. fail to reject the seven-minute average waiting time claim
D. maintain status quo
E. reject the seven-minute claim

Answer 1

A. increase the sample size

Explanation:

By increasing sample size, the amount of data included in the statistical calculation is more. As the size increases, the uncertainty decreases, hence the confidence level on our estimate is higher. By having more sample, we have more accurate analysis, and our margin of error can be reduced as well.