Question: Jack likes to gamble. What utility function is appropriate for Jack? 1/2 O T1 In ci + T2 In c2 Q3 1 Point Earl

Jack likes to gamble. What utility function is appropriate for Jack? 1/2

Jack likes to gamble. What utility function is appropriate for Jack? 1/2 O T1 In ci + T2 In c2 Q3 1 Point Earl has $100. Earl's utility function is u(c) = c. Kenny offered to bet Earl $20 that he would not select a black card from the deck of cards. Will Earl take the bet? O Yes O No Q4 1 Point Andrew's current wealth is $100,000. He faces a 25% chance of losing his automobile worth $20,000. Suppose also that Andrew's utility function is In a. What is the maximum amount Andrew will be willing to pay for the full insurance? Round your answer to the whole number (Example: 12345)

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