business math question please show everything

/in /by

You have a log utility function u (w) =ln (w), your current level of wealth is $5000

Suppose you’re exposed to risk will result to a 50/50 chance of winning or losing $1000.If you can buy insurance that completely removes the risk for a fee of $125 will you buy it or take a gamble.

 
Do you need a similar assignment done for you from scratch? We have qualified writers to help you. We assure you an A+ quality paper that is free from plagiarism. Order now for an Amazing Discount!
Use Discount Code "Newclient" for a 15% Discount!

NB: We do not resell papers. Upon ordering, we do an original paper exclusively for you.