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Alpha Electronics Corporation produced a TV from January 1, 2018 to December 31, 2020 that sold for a retail price of $750/unit. The corporation placed
Alpha Electronics Corporation produced a TV from January 1, 2018 to December 31, 2020 that sold for a retail price of $750/unit. The corporation placed a one-year parts and labor warranty on the product. It costs the company $3,000,000/year to provide the customer service personnel and facilities necessary for supporting the return and replacement of failed units, regardless of the number of units that fail. In addition, it costs the company $200 per TV to replace each malfunctioning unit along with $25 shipping and handling costs per TV to get the new unit to the customer. Sales of the product for each year are given in the table below. Each year, roughly 1.5% of the units sold that year were returned for failure. Determine the total warranty costs incurred by the company for the three years of production
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