The owner of the collection agency in Exercise 37 is quite certain that the agency can collect more than $200 per customer on average. He urges that the credit card company run a larger trial. Do you think a larger trial might help the company make a better decision? Explain.

In Exercise 37

Credit card companies lose money on cardholders who fail to pay their minimum payments. They use a variety of methods to encourage their delinquent cardholders to pay their credit card balances, such as letters, phone calls, and eventually, the hiring of a collection agency. To justify the cost of using the collection agency, the agency must collect an average of at least $200 per customer. After a trial period during which the agency attempted to collect from a random sample of 100 delinquent cardholders, the 90% confidence interval on the mean collected amount was reported as ($190.25, $250.75). Given this, what recommendation(s) would you make to the credit card company about using the collection agency?