(Table: Income and Total Utility for Naomi) Use Table: Income

(Table: Income and Total Utility for Naomi) Use Table: Income and Total Utility for Naomi. Naomi earns $50,000 per year but will be docked $20,000 of her pay if she is late with her work. Suppose there is a 25% probability that Naomi will be late with her work, reducing her income to $30,000. The premium for a fair insurance policy that would eliminate the uncertainty in her income would equal: $$\text { Table: Income and Total Utility for Naomi } \\\begin{array} { | l | l | } \hline \text { Income } & \text { Total Utility (in utils) } \\\hline \$ 30,000 & 1,000 \\\hline 32,500 & 1,800 \\\hline 35,000 & 2,500 \\\hline 37,500 & 3,100 \\\hline 38,200 & 3,267 \\\hline 40,000 & 3,620 \\\hline 40,500 & 3,700 \\\hline 42,500 & 4,000 \\\hline 43,750 & 4,175 \\\hline 45,000 & 4,300 \\\hline 47,500 & 4,500 \\\hline 50,000 & 4,600 \\\hline\end{array}$$

A) $4,000.
B) $5,000.
C) $7,500.
D) $9,500.