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It does, but whether this is noticable can be questioned. I doubt that very much.
 
You don't get something for nothing. More volume requires more energy, but I doubt that it shortens battery life noticeably.
 
Leaving it on full volume will have a minimal effect on the battery life, unless you're playing a sound the whole time.
 
Hardly.

Even if it does, I can't compromise by not being able to hear the ringer. That defeats the purpose of a phone.
 
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