Question: Suppose that an individual's utility function for money is given by u left parenthesis x right parenthesis equals left parenthesis 5 0 comma 0 0

Suppose that an individual's utility function for money is given by u left parenthesis x right parenthesis equals left parenthesis 50 comma 000 plus x right parenthesis to the power of 1 third end exponent. Suppose this individual currently holds an asset which in the future will pay $10,000 with probability .3, $5,000 with probability .5, and $1,000 with probability .2. What is the minimum price the individual should be willing to sell this asset for?

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