5. [4 | 5 | 5 | 8 = 22 points] Liz's utility function over goods 1 and 2 is given by: u(x1,mg) : v/ml + Bum (i) You already derived Liz's M'arshalz'an demands for goods 1 and 2 in Q3(i). Show that her indirect utility function is given by: 9 + 2 V(p13102;m) = vmvPl p 391102 (ii) Use your answers from (7,) to derive her expenditure function and her Hicksian demand for good 1. (iii) Liz lives in a city Where the prices of the goods are p1 : 1 and p2 : 1. She is considering between two joboffers. Job A offers her a xed salary of 3. Job B has uncertain income (say, it is commission based); specically, the income from this job could either be $100 with probability %, or it could be $64 with probability % What is the minimum value of S for which she will accept job A? (iv) After some years, Liz has wealth of $1000. She is afraid of getting into an accident, which Will result in a loss of $800. The probability of this happening is 0.4. An insurance company offers her insurance against this possibility of loss. For each dollar of coverage, she will have to pay a premium of 0.50. How much insurance coverage will Liz purchase