Multiple Choice
Amanda recently graduated from college,and she has a job offer with uncertain income: there is a 70% probability that she will make $10,000 and a 30% probability that she will make $70,000.The expected value of Amanda's income is:
A) $40,000.
B) $21,000.
C) $28,000.
D) $10,000.
Correct Answer:
Verified
Correct Answer:
Verified
Q169: (Scenario: Used-Car Market)Use Scenario: Used-Car Market.Adverse selection
Q170: Health insurance policies include deductibles:<br>A)to minimize moral
Q171: _ of insurance are often risk-averse,and _
Q172: Uncertainty about monetary outcomes is known as:<br>A)financial
Q173: Lucy decides to buy car insurance because:<br>A)she
Q175: Use the following to answer question: <img
Q176: In an efficient allocation of risk:<br>A)all risk
Q177: Economic growth that is not industry-specific is
Q178: (Scenario: Flood Area)Use Scenario: Flood Area.A flood
Q179: (Scenario: Buying Shares)Use Scenario: Buying Shares.The probability