Fact Pattern 3-1 Amanda Is a Twenty-Four Year Old Student. for Two Years

question 414

Multiple Choice

Fact Pattern 3-1
Amanda is a twenty-four year old student. For two years Amanda has been going to gym and using weight equipment, stationary bicycles, and step machines to improve muscle tone. One spring afternoon Amanda was using a weight machines in the usual way (and the way she was showed how to use it) , when the machine malfunctioned causing her serious injury. The company that made the machine, Musclematic, has known for the past year that this problem existed, but the company took no steps to warn people who owned or used these machines of the problem.
-Refer to Fact Pattern 3-1. After Amanda presents her case, the attorney for Musclematic would be best advised to:

• A) head for the hills
• B) start writing a great big check
• C) move for a directed verdict
• D) move for a j.n.o.v
• E) move to another state

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Definitions:

Cost of Equity Capital

The return that investors expect for investing in a company's equity, essentially the cost of raising equity capital for the firm.

Equity Capital

Funds raised by a company through the sale of common or preferred stock to investors.

Bankruptcy

A legal process through which individuals or businesses unable to meet their outstanding debts seek relief from some or all of their liabilities.

Legal Proceeding

A series of steps taken to resolve a legal issue, including lawsuits, hearings, and other actions involving the judicial system.