Which of the following is an example of an extended warranty?

Multiple Choice

Erickson Electronics promises to make repairs or replace any product found to be defective within a week of purchase.
Fancy Headphones, Inc. provides assurance that its headphones are defect-free after purchase.
Mark Electronics offers a warranty at an affordable price that provides additional protection after the customer takes possession of the product.
Azalea's Flowers assures clients that its flowers will stay fresh for at least a week.

Expert Solution

(C) Mark Electronics offers a warranty at an affordable price that provides additional protection after the customer takes possession of the product.

Explanation:

1) Erika promise to repair within one week of purchase. this cannot be considered as extended warranty. hence 1st option is incorrect.

2) Fancy headphone inc. is just providing assurance and not warranty. thus this is also an incorrect choice.

3) Mark Electronics charges mimimum to provide warranty after the possession. This is considered extended warranty. Thus this is correct choice.

4) Flower is a non durable item, so question of warranty does not arise here. thus this is also incorrect choice.

Hence, ( C) is only correct option.

ekkarill92 answered 2 years ago

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