According to a study several years ago by the Personal Communications Industry Association, the average wireless phone

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According to a study several years ago by the Personal Communications Industry Association, the average wireless phone user earns $62,600 per year. Suppose a researcher believes that the average annual earnings of a wireless phone user are lower now, and he sets up a study in an attempt to prove his theory. He randomly samples 18 wireless phone users and finds out that the average annual salary for this sample is $58,974, with a population standard deviation of $7810. Use α = .01 to test the researcher’s theory. Assume wages in this industry are normally distributed.


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