For what values of that reputation loss would issuing


The EMV of the cost of not issuing a recall is $80,000. Based on EMV, WH should not issue a recall. An estimated value of a reputation loss is included in the outcome estimate of the lawsuit. If WH is implicated, the firm may face a reputation loss even if no lawsuit is filed. For what values of that reputation loss would issuing the recall be preferable, in terms of EMV?

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Accounting Basics: For what values of that reputation loss would issuing
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