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Adventure Camera Co, was organized to sell a single product that carries a 45-day waranty against defects. Engineering estimates indicate that 2% of the
Adventure Camera Co, was organized to sell a single product that carries a 45-day waranty against defects. Engineering estimates indicate that 2% of the units sold will prove defective and require an average repair cost of $45 per unt. During Adventure's first month of operations, total sales were 900 units; by the end of the month 5 defective units had been repaired. The lability for product warranties at month-end should be A$225, OB. $1.005 OC $585 CD $810. OE none of these.
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