Amanda Recently Graduated from University,and She Has a Job Offer

question 69

Multiple Choice

Amanda recently graduated from university,and she has a job offer with uncertain income.There is a 70% probability that she will make $10 000 and a 30% probability that she will make $70 000.Suppose Amanda is offered another job with a certain income.All else equal,if she has a constant marginal utility of income,she will accept the second job offer only if it pays more than:

• A) $40 000.
• B) $28 000.
• C) $10 000.
• D) $21 000.

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Definitions:

Technical Skills

The abilities and knowledge needed to perform specific tasks, often related to IT, engineering, or other specialized fields.

Total Quality Management

A comprehensive management approach focusing on continuous improvement in all organizational processes, products, and services.

Quality Improvement

The systematic process of making continuous improvements to the quality of products, services, or processes.

Traditional Management

A hierarchical organizational management structure where decision-making is typically centralized and there are clear, distinct layers of power.