Question

Phone company A conducted a study that showed 97% customer satisfaction, with a standard deviation of 1%. The sample included 25 people who appear in one of their commercials during the past three years

phone company B conducted a study to show 94% customer satisfaction with a standard deviation of 4% a random sample consisting of 100 customers

which of the company claims is more believable and why? 

A.Phone Company A because the time span was longer

B. Phone company B bc the sample was not biased

C. Company A bc the standard deviation is smaller

D.Company B because the standard deviation is larger

Answer 1

B

Explanation:

Answer 2

B. Phone company B because the sample was not biased.

Explanation:

While Phone company A had a higher satisfaction rate, 25 people that conducted this poll were in at least 1 commerical of the phone company's in the past 3 years. This means that their reflection of the company is biased (typically higher) and not completely based off of their performance but instead how cool it was to be in a commerical or how much they were paid. If the poll was a more random sample of just customers, it would be more believable data. On the other hand, while phone company B had a lower satisfaction rate and higher deviation, their statistics are more believable due to the random sampling of customers.