Greyer Corp.manufactures surgical instruments.Systems Medico Inc.enters into a contractual arrangement with Greyer that allows it to use Greyer manufacturing methods and management structure to produce and sell surgical instruments.Systems Medico must pay a yearly fee to Greyer for the use of its manufacturing processes.In this scenario,Systems Medico is the _____.

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Systems Medico Inc. is the licensee in this scenario as it has entered into a contractual arrangement with Greyer Corp. to use its manufacturing methods and management structure for producing and selling surgical instruments. The licensee pays a yearly fee to the licensor for the use of its processes.