The above table shows the quantity of patents reviewed by a firm's attorney and the corresponding probability that the firm w infringe on another firm's patent. The cost of infringement is $50,000.
-Refer to the table above. If the attorney reviews 53 patents, what is the expected cost of infringement?

Question

Quizplus · Accepted Answer

The expected cost of infringement is calculated by multiplying the number of patents reviewed by the cost per patent. If the cost per patent is $660 (as inferred from the context), then 53 patents would result in an expected cost of $35,000 (53 x $660).

The Above Table Shows the Quantity of Patents Reviewed by a Firm's