This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Assume that one of two possible outcomes will follow a decision. One outcome yields a 75 payoff and ... (Read 65 times)

sc00by25

  • Hero Member
  • *****
  • Posts: 596
on: Jul 1, 2018
Assume that one of two possible outcomes will follow a decision. One outcome yields a 75 payoff and has a probability of 0.3; the other outcome has a 125 payoff and has a probability of 0.7. In this case the expected value is
 
  A) 85.
  B) 60.
  C) 110.
  D) 35.

Question 2

Suppose your utility function for food (F) and clothing (C) is u(F,C) = F + 4C. If you reduce your clothing consumption by 2 units, how much do you have to increase your food consumption in order to maintain the same utility level?
 
  A) 2 units
  B) 4 units
  C) 6 units
  D) 8 units


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

nathang24

  • Sr. Member
  • ****
  • Posts: 314
Reply #1 on: Jul 1, 2018
Answer to Question 1

C

Answer to Question 2

D


sc00by25

  • Member
  • Posts: 596
Reply 2 on: Jul 1, 2018
Excellent

upturnedfurball

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Alcohol acts as a diuretic. Eight ounces of water is needed to metabolize just 1 ounce of alcohol.

Did you know?

Your chance of developing a kidney stone is 1 in 10. In recent years, approximately 3.7 million people in the United States were diagnosed with a kidney disease.

Did you know?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

Did you know?

It is believed that the Incas used anesthesia. Evidence supports the theory that shamans chewed cocoa leaves and drilled holes into the heads of patients (letting evil spirits escape), spitting into the wounds they made. The mixture of cocaine, saliva, and resin numbed the site enough to allow hours of drilling.

Did you know?

The average older adult in the United States takes five prescription drugs per day. Half of these drugs contain a sedative. Alcohol should therefore be avoided by most senior citizens because of the dangerous interactions between alcohol and sedatives.

A Lexical Decision Task A Lexical Decision Task
Ethical Decision-Making Model Ethical Decision-Making Model
Mobilize the joints in the hand. Follow with figure-8s at the knuckles and scissoring the ... Mobilize the joints in the hand. Follow with figure-8s at the knuckles and scissoring the ...
Geese continued to follow a human around assuming their actual mothers Geese continued to follow a human around assuming their actual mothers
Checkpoints and proliferation decision points monitor the progress of the cell through the cell cycl Checkpoints and proliferation decision points monitor the progress of the cell through the cell cycl
For the circuit in Figure 1, assume ideal diodes. The peak inverse voltage is approximately For the circuit in Figure 1, assume ideal diodes. The peak inverse voltage is approximately
Video: Muscle Fatigue and Recovery

For a complete list of videos, visit our video library