Business, 15.02.2021 09:20 aleikebanks
Whitewater Rapids provides canoes to tourists eager to ride Whitewater river's rapids. Management has determined that there is one chance in a thousand of a customer being injured or killed. Settlement of resulting lawsuits has an average cost of $850,000.Insurance with a $100,000 deductible is available. It covers the costs of lawsuits, unless there is evidence of criminal negligence. Based on cost-benefit analysis, what is the most that the business should pay for the insurance?
Answers: 3
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Whitewater Rapids provides canoes to tourists eager to ride Whitewater river's rapids. Management ha...
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