Question: Replace all monetary values in Problem 8-44 with the following utilities: (a) What do you recommend, based on expected utility? (b) Is the investor a

Replace all monetary values in Problem 8-44 with the following utilities:

(a) What do you recommend, based on expected utility?
(b) Is the investor a risk seeker or a risk avoider? Justify your answer.

MONETARY VALUE UTILITY 1.00 0.40 0.20 0.10 0.05 0.00 $100,000 $ 80,000 - 20,000 -80,000 -$100,000

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