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James is director of research for a pharmaceutical company. The company recently introduced a new drug to reduce the symptoms of arthritis. The company is insured under a claims-made CGL policy. The policy term is January 1, 2012 through December 31, 2012. On December 15, 2012, a patient of a physician that prescribed the drug became seriously ill after taking the prescribed dosage. On February 1, 2013, the patient filed a claim against the company for the illness. The company was given notice that the patient had become ill on December 23, 2012.
1. Explain whether the company's claims-made policy will cover the loss.
2. What is the time constraint for the injured party to file a claim and have it covered by the claims-made policy in this situation?
Lentz's, Incorporated sells paper in a perfectly competitive market at a price of $2 per ream. At the profit-maximizing (cost-minimizing) level of output, average total cost is $2.50 per ream and average variable cost is $1.95 per ream. Should the fi..
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Since the “meltdown” of 2008, many large companies (such as IBM) have issued more debt (corporate bonds) and used the proceeds for research and development to develop new products/product lines. Identify a product for which "demand" is inherently ine..
Describe the different types of controls that managers can implement on any project - feed forward control, concurrent control and feedback control.
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