86.6k views
4 votes
a company estimates 0.3% of their products will fail after the original warranty period but within 2 years of the purchase, with a replacement cost of $450. if they offer a 2 year extended warranty for $42, what is the companys expected value of each warranty sold?

1 Answer

13 votes

I honestly don’t know

User Christopher Hughes
by
8.3k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories