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A company has a selling price of $1,700 each for its printers. Each printer has a 2 year warranty that covers replacement of defective parts.
A company has a selling price of $1,700 each for its printers. Each printer has a 2 year warranty that covers replacement of defective parts. It is estimated that 2% of all printers sold will be returned under the warranty at an average cost of $148 each. During November, the company sold 28,000 printers, and 380 printers were serviced under the warranty. What is the company's warranty expense for the month of November?
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