The option to buy extended warranties is commonplace with most electronics purchases.But does the type of purchase affect a consumer's willingness to pay extra for
An extended warranty? Data for 420 consumers who purchased digital cameras and
Laptop computers from a leading electronics retailer are summarized in the table.The
Probability that a consumer does not purchase an extended warranty is
A).07
B).42
C).58
D).17
E).83

Question

The option to buy extended warranties is commonplace with most electronics purchases.But does the type of purchase affect a consumer's willingness to pay extra for
An extended warranty? Data for 420 consumers who purchased digital cameras and
Laptop computers from a leading electronics retailer are summarized in the table.The
Probability that a consumer does not purchase an extended warranty is 
A).07 
B).42 
C).58 
D).17 
E).83

Quizplus · Accepted Answer

The probability that a consumer does not purchase an extended warranty is 0.58 or 58%, which means that 42% of consumers do choose to purchase an extended warranty. The question does not provide any further data to suggest whether the type of purchase (digital camera or laptop) affects a consumer's willingness to pay extra for an extended warranty. Therefore, we cannot make any conclusions based on the given information.

The Option to Buy Extended Warranties Is Commonplace with Most