MATHEMATICS / ECONOMICS
Jay Johnson died at age 52 of emphysema. Before Mr. Johnson died he was on high blood pressure medication for ten years, which cost $200.00 per month. He was in the hospital 30 days before his death at $1500.00 per day. He was also on oxygen for 4 years at $600.00 per month. Mr. Johnson began smoking at age 12. He smoked 2 packs of cigarettes a day. Mr. Johnson paid an average of $2.00 per pack. He could have made 10% simple interest if he had not smoked.
1. How much money did Mr. Johnson spend on cigarettes in his lifetime?
2. How much money did Mr. Johnson spend on blood pressure medication?
3. How much money did Mr. Johnson spend on hospital care?
4. How much money did Mr. Johnson spend on oxygen?
5. How much money in total did Mr. Johnson spend because he chose to smoke cigarettes? (This includes lost opportunities costs.)
6. What other monies might Mr. Johnson have spent due to his decision to smoke cigarettes at age 12. (i.e. teeth bleaching, etc.)
7. What else did Mr. Johnson sacrifice by smoking cigarettes?