Question: 1. (20 points) Consider the following two decision problems: Problem 1 Problem 2 A: $1 m B: $1 m 0.89 C: $0 0.89 $0 0.01

1. (20 points) Consider the following two

1. (20 points) Consider the following two decision problems: Problem 1 Problem 2 A: $1 m B: $1 m 0.89 C: $0 0.89 $0 0.01 $1 m 0.11 $5 m 0.10 D: $0 0.90 $5 m 0.10 Suppose the decision maker (DM) strictly prefers B over A and Cover D. Is this DM an expected utility maximizer? If your answer is yes, please specify a utility function that is compatible with these preferences and expected utility maximization. If your answer is no, then show that there is no utility function that is compatible with these preferences and expected utility maximization

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