(Table: The Utility from Income for Alexandra) Use Table: The Utility from Income for Alexandra. Alexandra runs her own business, which generates an annual income of $40,000. Alexandra is considering developing a new product. The probability that the new product will increase Alexandra's income by $30,000 is 0.5, and the probability that it will reduce Alexandra's income by $10,000 is 0.5. Alexandra's expected utility after developing her new product is _____ utils.
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A) 1,360
B) 860
C) 500
D) 680
Correct Answer:
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