shelbylynn737

06.04.2021 • 

Business

Susan is a self-employed consultant, earning $95,000 annually. She does not have health insurance but knows that, in a given year, there is a 5 percent probability she will develop a serious illness. If so, she could expect medical bills to be as high as $35,000. Susan derives utility from her income according to the following formula: U = Y(0.25), (i.e. Y raised to the 0.25 power), where Y is annual income.
Use this information to answer the questions below.
1) What is Susan's expected utility?
2) What is Susan's maximum willingness to pay?
3) What is Susan's Risk premium?

Ответ:

Mw3spartan17

11.07.2021

Business

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Ithink the product that recorded the biggest percentage of change in price over the previous year is product a which represented by the function f(x)=0.69(1.03)x where variable x is equals to the years past. 

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