Question: Manon has a utility function U(I)=19I, where I is income. She has an investment opportunity where there is a 40% chance of earning $10200,40% chance

Manon has a utility function U(I)=19I, where I is income. She has an investment opportunity where there is a 40% chance of earning

Manon has a utility function U(I)=19I, where I is income. She has an investment opportunity where there is a 40% chance of earning $10200,40% chance of earning $23500, and a 20% chance of earning $33900. What is the risk premium associated with this investment opportunity? Answer: $ (DO NOT ROUND YOUR CALCULATIONS UNTIL YOU REACH THE. FINAL ANSWER. ENTER YOUR RESPONSE ROUNDED TO DECIMAL PLACES, AND NO SEPARATOR FOR THOUSANDS.) A $25000-face-value bond has a 8.6% coupon rate, its current price is $25010, and is expected to be sold for $25850 next year. What is the bond's expected rate of return? Answer: % (DO NOT ROUND YOUR CALCULATIONS UNTIL YOU REACH THE FINAL ANSWER. ENTER YOUR RESPONSE ROUNDED TO TWO DECIMAL PLACES.)

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