Company A and company B are both having an unhealthy competition.
Company B loss:
Sales loss = $40,000
Expenses on trials = $10,000
Lawyer's fees = $12,000
Total loss = Sales loss + Expenses on trials + Lawyer's fees
= $40,000 + $10,000 + $12,000
= $62,000
In other to recover the loss, company A will have to pay company B a sum of money equivalent to $62,000 or pay a sum of money greater than $62,000.
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