A manufacturer of a certain product can expect that between 0.3 percent and 0.5 percent of the units manufactured will be defective. If the retail price is $1,500 per unit and the manufacturer offers a full refund for defective units, how much money can the manufacturer expect to need to cover the refunds on 20,000 units?
Choose the correct option: A) Between $90,000 and $150,000 B) Between $30,000 and $50,000 C) Between $60,000 and $100,000 D) Between $150,000 and $250,000 E) Between $300,000 and $500,000
Number of defective units is between = .3 % of 20000 and .5% of 20000   = 60 and 100   Retail Price per unit = 1500 $   Expected price of refund is between = 1500 x 60 and 1500 x 100   =90,000 and 1,50,000 dollars   Between $90,000 and $150,000nswer Between $90,000 and $150,000
<result>A</result>
A manufacturer of a certain product can expect that between 0.3 percent and 0.5 percent of the units manufactured will be defective. If the retail price is $1,500 per unit and the manufacturer offers a full refund for defective units, how much money can the manufacturer expect to need to cover the refunds on 20,000 units?