A Lawyer Believes That the Probability Is

question 117

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 $40,000;but if she loses,she gets nothing.Assume that she has to spend $5000 preparing the case.What is her expected gain?

• A)$35,000
• B)$7,000
• C)$10,500
• D)$9,000

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Definitions:

Unlimited Liability

A legal structure where business owners are personally responsible for all of the company's debts, putting personal assets at risk.

Corporation

A legal entity that is separate and distinct from its owners, providing them with limited liability protection, and has the ability to enter into contracts, own assets, and pay taxes.

ACA

An abbreviation for the Affordable Care Act, a comprehensive healthcare reform law enacted in March 2010 aimed at expanding healthcare coverage, reducing costs, and improving healthcare quality.

Full-Time Employees

Workers contracted to work a standard number of hours set by their employer, typically considered to be 35-40 hours per week.