Question: A decision maker has chosen .4 as the probability for which he cannot choose between a certain loss of 10,000 and the lottery p(-25000) +
A decision maker has chosen .4 as the probability for which he cannot choose between a certain loss of 10,000 and the lottery p(-25000) + (1-p)(5000).If the utility of -25,000 is 0 and of 5000 is 1, then the utility of -10,000 is:
Select one:
a.
4
b.
.6
c.
.4
d.
.5
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