Ed is a writer who works from his home.Ed lives nextdoor to Ricky,the drummer for a local band.Ricky needs lots of practice to earn his share of the bands profits,$250.Ed gets distracted by Ricky's drumming but needs to get his writing done to earn $500 for his current article.If Ed needs to hire a lawyer to help him reach an agreement with Ricky,what price is Ed willing to pay the lawyer?

Question

Quizplus · Accepted Answer

Ed needs to earn $500 for his current article, so he cannot afford to pay more than that for a lawyer. Additionally, since he is only dealing with a neighbor and not a complex legal issue, he likely does not need to pay more than the amount he stands to lose from Ricky's drumming. Therefore, he is willing to pay less than $500 for the lawyer. Options A and B are too low, as Ed may still need to pay a significant amount for legal services, but option D is too high as it suggests a complex legal issue that Ed's situation does not warrant.

Ed Is a Writer Who Works from His Home