6. An entity sells goods with a warranty covering customers for the cost of repairs of any defects that are discovered within the first two months after purchase. Past experience suggests that 80% of the goods sold will have no defects, 15% will have minor defects and 5% will have major defects. If minor defects were detected in all products sold, the cost of repairs would be $24,000; if major defects were detected in all products sold, the cost would be $200,000. What amount of provision should be made? (: 1) The expected value of the cost of repairs is $13,600 The expected value of the cost of repairs is $11,680 The expected value of the cost of repairs is $14,000 $