Credit card companies lose money on cardholders who fail to pay their minimum pa

Question

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?

Explanation / Answer

Given this, what recommendation(s) would you make to the credit card company about using the collection agency?

the recommendation that I would make to the credit card company about using the collection agency is

that the average need to be at least 190.25 and at most 250.75 and I am doing this recommendation with 90% of confidnet

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