Multiple Choice
If Ann's utility function is U = W⁰.⁵,and she invests in a business which can yield $6,400 with probability 1/5,and $3600 with probability 4/5,then her expected utility is
A) 80.
B) 76.
C) 64.
D) 60.
Correct Answer:
Verified
Correct Answer:
Verified
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