Using the Compensating Differential Approach, the Value of a Life

Multiple Choice

Using the compensating differential approach, the value of a life is calculated as

A) the compensating differential multiplied by the increased chance of death.
B) the sum of the compensating differential and the increased chance of death.
C) the compensating differential divided by the increased chance of death.
D) the difference between the compensating differential and the increased chance of death.