Figure 27-2

question 113

Multiple Choice

Figure 27-2.The figure shows a utility function for Britney.
-Refer to Figure 27-2.From the appearance of the utility function,we know that

• A)if Britney owns a house,she would not consider buying fire insurance.
• B)Britney would prefer to hold a portfolio of stocks with an average return of 8 percent and a standard deviation of 2 percent to a portfolio of stocks with an average return of 8 percent and a standard deviation of 5 percent.
• C)Britney would prefer to hold a portfolio of stocks with an average return of 8 percent and a standard deviation of 5 percent to a portfolio of stocks with an average return of 6 percent and a standard deviation of 3 percent.
• D)All of the above are correct.

Understand the fundamental components and classifications of fossils.

Grasp the methods and technologies used in dating fossils and determining Earth's age.

Acknowledge the significant events and timelines in the history of life on Earth.

Recognize the diversity of early life forms and the emergence of multicellularity.

---

Definitions:

Marginal Cost

The incremental cost involved in creating an extra unit of a product or service.

Diseconomies of Scale

Occur when a firm's costs per unit increase as its output increases, opposite to economies of scale.

Production Costs

The total expense incurred in manufacturing a product or providing a service, including labor, materials, and overhead expenses.

Car Leasing Company

A business that rents vehicles to customers for a specified period of time, often as an alternative to purchasing.