Tavis Robotics Corporation Has Developed a New Robot-Model FI-73-That Has

question 136

Multiple Choice

Tavis Robotics Corporation has developed a new robot-model FI-73-that has been designed to outperform a competitor's best-selling robot. The competitor's product has a useful life of 10,000 hours of service, has operating costs that average $4.60 per hour, and sells for $109,000. In contrast, model FI-73 has a useful life of 30,000 hours of service and its operating cost is $2.60 per hour. Tavis has not yet established a selling price for model FI-73.
-From a value-based pricing standpoint what is the reference value that Tavis should consider when pricing model FI-73?

• A) $155,000
• B) $109,000
• C) $187,000
• D) $327,000

---

Definitions:

Codes of Ethics

Written guidelines created by organizations to outline the ethical conduct expected of their members.

Unauthorized Practice of Law

Engaging in legal activities or providing legal advice without the necessary legal authorization or license.

Attorney-Client Relationships

The professional and confidential relationship established between a lawyer and their client.

Legal Opinions

Formal statements by a qualified legal expert concerning the legal status or interpretation of a matter.