3) Suppose that a certain product is to be sold with a warranty, but managers at the company have yet to

specify the length of the warranty. Consider that the length of the warranty determines the probability, p,

that a product will break before the warranty expires, and so the managers have control over this quantity.

At one point the managers decide that the warranty should reflect the following criterion: if 2 products are

observed then the probability that one or both of those products break before the warranty expires is 0.1.

What value of p is required to meet the managers' specification?

a. 0.053

b. 0.100

c. 0.050

d. 0.051