The extended warranty on a $960 dishwasher is 21% of the purchase price and lasts for eight years. What is the effective cost pe
r year of the extended warranty?
a.
$28.80
b.
$45.20
c.
$23.78
d.
$25.20
1 answer:
Answer
Find out the what is the effective cost per year of the extended warranty .
To proof
As given
The extended warranty on a $960 dishwasher is 21% of the purchase price and lasts for eight years.
21% is written in the decimal form
= 0.21
effective cost for the extended warranty = 0.21 × 960
= $ 201.6
= $25.2
Therefore the
effective cost per year of the extended warranty be $25.2
Option (d) is correct .
Hence proved
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