Final answer:
The cell phone bill can indeed be larger if it includes equipment purchases, as the initial cost of a new device can cause higher charges on early bills. After the breakup of AT&T, there was increased competition and variation in payment plans.
Step-by-step explanation:
The cell phone bill can indeed be larger than later bills if it includes the cost of equipment purchases such as a new phone model. The breakup of the AT&T monopoly led to increased competition, which resulted in a diverse range of payment plans that can significantly vary the cost of a cell phone bill. Equipment purchases, especially when financing an expensive device like the latest iPhone, can lead to a higher initial bill.
After the AT&T split, customers enjoyed lower prices, a greater quantity of services, and innovative features. However, an initial purchase of a cell phone or choosing an expensive data plan can still make the first or early bills higher than subsequent ones, where the customer is primarily paying for the service plan itself.
The cell phone bill typically includes charges for airtime, text messages, data usage, and any additional services or features. Equipment purchases, on the other hand, are generally separate costs associated with buying a new phone or upgrading an existing one.
For example, if a person buys a new phone and signs a contract with a service provider, the cost of the phone may be spread out over the length of the contract as part of the monthly bill. However, once the phone is paid off, the bill would no longer include the equipment purchase cost.