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1.Anita had a ten-year contract with city of West Haven to operate the city's visitor and convention bureau. For a variety of reasons, Anita and

1.Anita had a ten-year contract with city of West Haven to operate the city's visitor and convention bureau. For a variety of reasons, Anita and the city manager had several major differences of opinion. With seven years still remaining on the contract, the city unilaterally cancelled the contract and ceased paying Anita her salary and other benefits. Anita sued the city, and the court found the city liable for breach of contract. At the time the contract was terminated (at the beginning of the fourth year of the contract), Anita was 55 years old, and when the court liability ruling was issued Anita was 57. The present value of the lost salary and benefits for the last seven years of the contract are respectively: $110,000, $112,000, $113,000, $115,000, $116,000, $117,000, and $135,000.

Below is a table from the National Vital Statistic Report identifying the number of people alive out of 100,000 people for females in the United States for ages 50 - 67:

Age Number Alive

50 95,733

51 95,445

52 95,139

53 94,813

54 94,462

55 94,085

56 93,676

57 93,213

58 92,754

59 92,235

60 91,672

61 91,058

62 90,385

63 89,674

64 88,842

65 87,974

66 87,043

67 86,045

(a)Adjusting for the probability of life, Anita's total damages would be:

(b)Assume all other issues in the case remain the same except that Anita was 60 years old at the time of the breach of contract, and she is 61 at the time the court rules in her favor. Given this information, the amount of damages would be:

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