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Sagot :

the price that they should charge on the 2 year extended warranty is in order to break even is $10.

what price should the company charge?

the price at which the company would breakeven is:

= percentage of product that will fail x replacement cost

solving gives:

= 4% x 250

= $10

find out more on warranty cost at https://brainly.com/question/25750069.

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