Question: The lifetime of a $200 printer is exponentially distributed with a mean of 2 years. The manufacturer agrees to pay a full refund to a

The lifetime of a $200 printer is exponentially distributed with a mean of 2 years. The manufacturer agrees to pay a full refund to a buyer if the printer fails during the first year following its purchase, and a one-half refund if it fails during the second year. If the manufacturer sells 100 printers, how much should it expect to pay in refunds?

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