Use the Following Information to Answer the Question(s)below

question 86

Multiple Choice

Use the following information to answer the question(s) below.
Suppose that you have received two job offers.Rearden Metal offers you a contract for $75,000 per year for the next two years while Wyatt Oil offers you a contract for $90,000 per year for the next two years.Both jobs are equivalent.Suppose that Rearden Metal's contract is certain,but Wyatt Oil has a 60% chance of going bankrupt at the end of the year.In the event that Wyatt Oil files for bankruptcy,it will cancel your contract and pay you the lowest amount possible for you to not quit.If you do quit,you expect you could find a new job paying $75,000 per year,but you would be unemployed for four months while searching for this new job.
-Assuming your cost of capital is 6 percent,the present value of your expected wage if you accept Wyatt Oil's offer is closest to:

• A)$138,000.
• B)$140,000.
• C)$144,000.
• D)$150,000.

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Definitions:

Tasks

Activities that need to be accomplished within a given timeframe.

Trial

A formal judicial process where evidence is presented and a judgment is made, often involving a judge and sometimes a jury.

Pretrial Conference

A meeting between the parties involved in a legal case and the judge, held before the trial starts, to narrow down the issues and possibly reach a settlement.

Paralegal's Role

A paralegal's role involves supporting lawyers by conducting legal research, preparing documents, and assisting with case management, often serving as an essential part of the legal team.