Business math question please show everything

Anonymous
timer Asked: Jan 26th, 2019
account_balance_wallet $15

Question Description

You have a log utility function u (w) =ln (w), your current level of wealth is $5000

Suppose you’re exposed to risk will result to a 50/50 chance of winning or losing $1000.If you can buy insurance that completely removes the risk for a fee of $125 will you buy it or take a gamble.

Tutor Answer

TutorGalileo
School: Rice University

Hello, I'm through with the paper. It's perfect but in case of anything you can co...

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Anonymous
Top quality work from this guy! I'll be back!

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