Denote by "W" Is the Amount of Wealth You Are

Multiple Choice

Denote by "W" is the amount of wealth you are holding. Currently you have $5000. Consider a gamble where there is a half-chance of winning $1000 and a half-chance of losing $500. Assuming standard preferences, a risk neutral person will:

A) Accept this bet since the expected final wealth is $5250.
B) Reject this bet since (s) he wants to avoid the possibility of loss.
C) Accept this bet since the expected final wealth is $5000 and there is no possibility of loss.
D) Reject this bet since the expected final wealth is less than $5000.