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Ah mainly for holidays, I'd recommend the 3G+wifi so on your travels you can easily shop from your Kindle and download new ebooks.
I believe the 30 days is "Within 30 days of delivery". Battery replacement cost would need to be priced from Amazon. I am not sure if the quoted price is battery replacement and return shipping to you. It will cost about $30AUD to send it back to Amazon. Please note, the battery in the Kindles are rated around 300-500 full charge cycles, meaning after 300-500 charge cycles the battery should operate around 80% of its original capacity. You can read upto around 1 month with the wireless turned off, so you'd only charge 12-15 times a year (depending of reading habits). I reckon in a few years you'd want to upgrade because you want to rather than because the old unit is starting to not hold charge.
Reliability, well I have had one issue with mine, but you tend to notice these things rather quickly after getting it. Amazon are the best in terms of returns/replacements of faulty products. I swear, no need to worry here.
I highly recommend a cover. It will protect the screen from damage and scratches, even keeping dirt etc from it. Nothing worse than trying to read a screen that is all dirty etc. Unfortunately I can't offer any more help on the other points.
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