Refer to the Data Provided in Table 17 -Refer to Table 17

question 33

Multiple Choice

Refer to the data provided in Table 17.2 below to answer the following question(s) . The table shows the relationship between income and utility for Sue.
Table 17.2
$$\begin{array} { | c | c | } \hline \text { Income } & \text { Total Utility } \\\hline \$ 0 & 0 \\\hline \$ 20,000 & 20 \\\hline \$ 40,000 & 40 \\\hline \$ 60,000 & 60 \\\hline \$ 80,000 & 80 \\\hline\end{array}$$
-Refer to Table 17.2. Sue earns $40,000 annually. She has the opportunity to bet her entire salary on the upcoming super bowl. If Sue takes the bet, she will pick the Patriots. She believes that the Patriots have a 50-50 chance of winning the game. If the Patriots win, Sue will double her money ($80,000) but if they lose she loses her entire salary ($0) . Sue's utility if she does not take the bet is ________ and her expected utility from the bet is ________.

• A) 40; 80
• B) 40; 40
• C) 40; 0
• D) 80; 20

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Definitions:

Detrimental

Causing harm or damage, often in a subtle or gradual way.

Substantive Negotiation

A negotiation that focuses on the actual issues at hand, aiming to resolve material differences and reach an agreement based on the interests of the parties involved.

Parallel

Occurring or existing at the same time or in a similar manner, without intersecting or affecting each other.

Integrative Negotiation

A negotiation approach focused on finding mutually beneficial solutions by addressing the underlying interests and needs of all parties involved.