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Multiple Choice

A new electrical contractor is debating how to price initial residential service calls where the fault is unknown. They are considering two policies:

  • Policy X: Offer 'free troubleshooting' to attract leads, planning to recover travel and diagnostic costs by increasing the price of the subsequent repair if the customer approves it.
  • Policy Y: Charge a non-refundable $149 diagnostic fee upfront, before authorizing any repair, to cover the technician's travel and isolation of the fault.

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Updated 2026-05-09

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