Use the Following to Answer Question

question 120

Multiple Choice

Use the following to answer question:
-(Table: Amy's Utility Function) Use Table: Amy's Utility Function.Amy is an entrepreneur with current income equal to $40,000.Amy is considering development of a new product.The probability that her new product earns Amy $10,000 in additional income is 0.5,and the probability that Amy incurs a reduction of $10,000 from her current income is also 0.5.Suppose Amy can buy a fair insurance policy that will compensate her for any losses.Amy's premium will be _____,her guaranteed income will be _____,and her expected utility will be _____ utils.

• A)$5,000;$10,000;200
• B)$10,000;$30,000;500
• C)$10,000;$40,000;620
• D)$30,000;$50,000;720

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Definitions:

Osteocyte

Mature bone cell surrounded by bone matrix.

Bone Maintenance

The process by which bone tissue is renewed through the activities of osteoclasts (breaking down bone) and osteoblasts (forming new bone), ensuring strength and health of bones.

Lamellar Bone

The mature type of bone tissue that forms concentric layers or sheets, providing strength and stability.

Collagen Fibers

Structural proteins in connective tissues, providing strength, elasticity, and support to skin, bones, cartilage, and blood vessels.