1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
antiseptic1488 [7]
3 years ago
8

A proximity sensor attached to the tip of an endoscope could reduce risks during eye surgery by alerting surgeons to the locatio

n of critical retinal tissue.
If a certain eye surgeon expects that by using this technology, he will avoid lawsuits of $0.6 and $1.35 million 2 and 5 years from now, respectively, how much could he afford to spend now if his out-of-pocket costs for the lawsuits would be only 10% of the total amount of each suit? Use an interest rate of 10% per year.
Business
1 answer:
lilavasa [31]3 years ago
7 0

Answer:

He could afford to spend $133,411 for the device now.

Explanation:

The maximum the surgeon could afford for the device is equal to the sum of present value of the lawsuit costs that he can avoid in year 2 and year 5 which is:

+ Year 2: 600,000 * %out-of-pocket cost for the law suit = 600,000 * 10% = $60,000;

+ Year 5: 1,350,000 * %out-of-pocket cost for the law suit = 1,350,000 * 10% = $135,000.

=> The amount he can afford for the device = 60,000 / 1.1^2 + 135,000 / 1.1^5 = $133,411.

So, the answer is $133,411.

You might be interested in
Explain the importance of knowing dependent and independent demand models to companies.
ArbitrLikvidat [17]

The importance of knowing dependent and independent demand models to companies is that it is a way for one to be able:

  • To understand inventory.
  • Be able to depict the number of units of a specific product that the consumers are said to be willing to by at each price.

<h3>What is independent demand and dependent demand?</h3>

Independent demand is known to be the demand for a given finished product. It can be a machine, a car. etc.

The dependent demand is known to be the demand for a component area of a finished good, such as the wheels on a car.

Note that the Dependent demand is one that is obtained from the demand for a finished product.

Therefore, The importance of knowing dependent and independent demand models to companies is that it is a way for one to be able:

  • To understand inventory.
  • Be able to depict the number of units of a specific product that the consumers are said to be willing to by at each price.

Learn more about demand models from

brainly.com/question/23879110

#SPJ1

8 0
1 year ago
Organizations that rely on a few major customers may organize their people and resources by client. This is an example of ______
Rom4ik [11]

Any organization that organizes their people and resources by client because it relies on a few major customers shows an example of <u>customer departmentalization</u>.

<h3>What is departmentalization? </h3>

Departmentalization is an effort by an organization to achieve some common purpose, coordinate its effort, ensure division of labor, hierarchy of authority, and centralize/decentralize and formalize its operations.

There are four basic types of departmentalization (function, product, customer, and geography). Customer departmentalization depends on the difference between the customer segments so that specialized services could be offered to each segment.

Thus, such an organization is an example of <u>customer departmentalization</u>.

Learn more about departmentalization at brainly.com/question/25823018

6 0
2 years ago
Jeff and Rhonda are married and have two children, Max and Jen. Max is 20, attends college in the Los Angeles area full-time, an
Rufina [12.5K]

The nuclear family .

Explanation:

This is because every extended family has a link with their relation. They need to build their home.

6 0
3 years ago
Describe why it is important to understand how businesses impact you.
Marina CMI [18]

because they are the ones that provide me goods and services.

4 0
2 years ago
In order to lower his monthly auto insurance bill, Henry has decided to change his existing policy by increasing the deductible
Len [333]

<span>Since Henry decided to increase the deductible on his existing insurance policy, his monthly auto insurance premium will be lower. This means that higher deductible means lower premium payments. It also affects the insurance coverage of Henry because this mean that Henry must shoulder a specific amount (or high cash-out) before the claim is paid by the insurance company.</span>

7 0
3 years ago
Read 2 more answers
Other questions:
  • How is dragonwave, inc revenues by product categroy?
    9·1 answer
  • A performance obligation​ is: A. An enforceable promise in a contract with a customer to transfer a good or service to the custo
    9·2 answers
  • What do you think are the most important values and attitudes to have in order to suucessful in a job? why?
    10·1 answer
  • superior Company provided the following data for the year ended December 31 (all raw materials are used in production as direct
    8·1 answer
  • Paula used to check her voice mail each time she returned to her office after a meeting or break. Now she checks her voice mail
    10·1 answer
  • At January 1, Year 1, under its restricted stock unit (RSU) plan, Label Corporation grants RSUs representing 10,000 of its $1 pa
    13·1 answer
  • Crystal Glasses recently paid a dividend of​ $2.70 per​ share, is currently expected to grow at a constant rate of​ 5%, and has
    15·1 answer
  • Which of the following is not a characteristic of a leader
    6·2 answers
  • PLEASE HELP!!!!!!!!!!
    6·1 answer
  • The introduction into your real estate market of many hud and va foreclosed properties will probably cause the value of similar
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!