Jack Strong has $$50,000$ of wealth. He is participating in a Jujitsu competition. The prize is

$$10,000.$ He is guaranteed to win it $($he has black belt$)$ unless he breaks his arm. If his arm

is broken, he will lose the tournament and he will have to pay $$5,000$ in medical expenses.

Jack thinks that the probability of him breaking his arm during a tournament is $5$ percent. He

can get a medical insurance at a price of $$\mathrm{.}3$ dollars for each $$1$ of coverage.