A Lawyer Believes That the Probability Is

question 84

Multiple Choice

A lawyer believes that the probability is .3 that she can win a discrimination suit. If she wins the case, she will make $400,000; but if she loses, she gets nothing. Assume that she has to spend $75,000 preparing the case. What is her expected gain?

• A) $325,000
• B) $45,000
• C) $150,000
• D) $22,500

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Definitions:

Valet Parking

A service where an attendant parks and retrieves vehicles for guests at a venue or establishment.

Gross Negligence

An extreme lack of care or failure to act that demonstrates a disregard for the safety or rights of others, potentially leading to legal liability.

Bailment

The transfer of a chattel by the owner to another for some purpose, with the chattel to be later returned or dealt with in accordance with the owner’s instructions.

Reasonable Care

The standard of care that a reasonably prudent person would observe under a given set of circumstances.