Ask Question
28 August, 10:20

Alexander lives in an apartment building and gets a $250 benefit from playing his stereo. mary, who lives next door to alexander and often loses sleep due to the loud music coming from alexander's stereo, bears a $350 cost from the noise. mary would like to offer alexander some money to turn down the volume on his stereo. if mary had to hire a lawyer to draw up the contract, what is the maximum amount she could pay to the lawyer to ensure that both alexander and mary would benefit from the agreement?

+5
Answers (1)
  1. 28 August, 10:48
    0
    Answer: The answer is $100

    Explanation: This is because the difference between Alexander's benefit and Mary's cost due to inconvenience is:

    $350 - $250 = $100.

    The maximum amount Alexander could benefit from Mary is $250. This is because, If Mary pays legal fees of $100 to the lawyer, she will still have $250 to offer the maximum benefit to Alexander to reduce the noise.

    However, she might still be able to create a bargain in which she will ask for a reduction in the payment made to Alexander so that she can also make some gain.

    If Alexander demands for anything above $100 in trying to push for his maximum benefit, Mary will not be able to make any gain.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Alexander lives in an apartment building and gets a $250 benefit from playing his stereo. mary, who lives next door to alexander and often ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers