Question
A 50-year-old person, in good health, has worked at the same job for about 15 years and is recognized by the employer as one of
A 50-year-old person, in good health, has worked at the same job for about 15 years and is recognized by the employer as one of the most efficient and cooperative employees in the factory. As a result of an accident caused by the employer's negligence, the employee was totally and permanently disabled. The employee decides to sue his employer for the negligence that occurred. It is estimated that the employee has a life expectancy of 27 years and a remaining useful life (working) of 17 years. The employee receives a salary of $30,000 per year. He also received an annual Christmas bonus of $300 and an annual productivity bonus of $1,500. He had been given a 5 percent annual salary increase. In addition, his employer contributed $100 per month to his retirement plan and $100 per month to his health plan. As a result of the accident, you will require a part-time nurse for the remainder of your natural life at a cost of $12,000 per year and medical expenses of $8,000 per year. The interest rate is equal to 2.5 percent and the inflation rate is equal to 3.5 percent.A. Determine the immediacy for lost profits. B. Determine the compensation for consequential damages. C. Determine the full compensatory damages.
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