Good drivers have a 20% chance,and bad drivers have a 50% chance,of getting into an accident.A car is worth $900,and an accident would reduce its value to $400.Both types of drivers have utility U = (car value)^0.5.What is a bad driver's expected utility without insurance?

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The Answer of Good drivers have a 20% chance,and bad drivers have a 50% chance,of getting into an accident.A car is worth $900,and an accident would reduce its value to $400.Both types of drivers have utility U = (car value)^0.5.What is a bad driver's expected utility without insurance?

Good Drivers Have a 20% Chance,and Bad Drivers Have a 50