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Question 45

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Use the following to answer question: Use the following to answer question:   -(Table: Income and Utility for Tyler) Use Table: Income and Utility for Tyler.The table shows the utility Tyler receives at various income levels,but she does not know what her income will be next year.There is a 40% chance her income will be $20,000,a 40% chance her income will be $30,000,and a 20% chance her income will be $40,000.What is her expected utility in utils? A) 3,270 B) 3,144 C) 3,420 D) 3,480
-(Table: Income and Utility for Tyler) Use Table: Income and Utility for Tyler.The table shows the utility Tyler receives at various income levels,but she does not know what her income will be next year.There is a 40% chance her income will be $20,000,a 40% chance her income will be $30,000,and a 20% chance her income will be $40,000.What is her expected utility in utils?


A) 3,270
B) 3,144
C) 3,420
D) 3,480

Correct Answer:

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