As smart phones have become more sophisticated, their data usage has increased causing capacity issues with service providers. High variability in data usage among customers can result in slow connections with the cell-phone network. Suppose Verizon Wireless would like to test if the standard deviation of monthly data usage for its customers has increased beyond 400 megabytes (MB). A random sample of 25 customers was found to have a standard deviation of 458 MB.
a. Using α = 0.10, perform a hypothesis test to determine if the standard deviation for the monthly data usage for Verizon Wireless customers has exceeded 400 MB.
b. Verify your results using PHStat.
c. Interpret the p value obtained from the software.

  • CreatedJuly 28, 2015
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