During a reporting period (or portion of a reporting period) when NVS has not yet fully recouped its Lovenox development costs, $0.225 of every dollar of Lovenox operating profit goes to MNTA, and NVS reduces its non-recouped development costs by $0.50. In case b) in the preceding post, the $0.50 reduction to NVS’ non-recouped development costs is conceptually split into two portions of $0.275 and $0.225, respectively, but the end result is the same.
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