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nevsk [136]
3 years ago
14

Suppose you have $100 of endowment, and you are offered a chance to buy a lottery which costs $36. The lottery has 43% of chance

to win a prize of $G, or you just lose and get nothing. Suppose your utility function on wealth is u(w)=w^1/2. What is the least prize size G that you will be willing to buy the lottery? (Round to the second digit after decimal point.)
Business
1 answer:
Yuliya22 [10]3 years ago
6 0

Answer:

96.02

Explanation:

Lottery's Expected utility = \sqrt{100} = 10

Income in good state = 100 - 36 + G = 64 + G

Income in bad state = 100 - 36 = 64

Probability in good state = 43%

Probability in bad state = 100% - 43% = 57%

Expected utility = Probability in good state x \sqrt{(64 + G )} + Probability in bad state x \sqrt{64\\}

10 = 43% x \sqrt{(64 + G )} + 57% x 8

10 = 43% x \sqrt{(64 + G )} + 4.56

10 - 4.56 = 43% x \sqrt{(64 + G )}

5.44 = = 43% x \sqrt{(64 + G )}

5.44 / 43% = \sqrt{(64 + G )}

12.65 = \sqrt{(64 + G )}

12.65^{2} = (\sqrt{(64 + G )})^{2}

160.0225 = 64 + G

G = 160.0225 - 64

G = 96.0225

G = 96.02

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The actual cash received from cash sales was $36,006 and the amount indicated by the cash register total was $36,010. Journalize
andrezito [222]

Answer:

Cash shorting = 36,010 - 36,006 = $4

DR Cash                                                                  $36,006

     Cash Short and Over                                        $         4

     CR Sales                                                                            $36,010

There is a shortage of cash as the sales figure is more than the cash amount. The Cash Short and Over account will therefore be debited to reflect this expense.

7 0
3 years ago
If a driver with an insurance policy drives infrequently, it can
e-lub [12.9K]

Answer: lower cost

Explanation:

An insurance policy is a contract between an insurance company and a policyholder, which helps the policyholder to be able to make claims when there's an accident or death in case of life insurance.

In the above scenario in the question, if a driver with an insurance policy drives infrequently, it can lower costs.

Therefore, the correct option is B.

3 0
3 years ago
Read 2 more answers
Which of the following is an example of a non-penalized religious observance?
tamaranim1 [39]

The correct answer would be option C.

Allowing employees to pray during work time.

Explanation:

Non penalized religious observance means, If someone practice his or her religion during the work hours, as it is compulsory in his/her religion to do so, at the place where he works.

So companies allow employees to pray during work hours which will be a non penalized religious observance for the employees.

For example, If there is a Muslim who works in an organization which is owned by the people of other religion, and if he offers his prayers during his work hours, then the company will respect his offerings and won't charge or penalize him on the observance of his religion during the office timings.

Learn more about Religious observance at:

brainly.com/question/2887557

#LearnWithBrainly

6 0
3 years ago
Bramble Company purchased a new van for floral deliveries on January 1, 2018. The van cost $66000 with an estimated life of 5 ye
fgiga [73]

Answer:

$42,240

Explanation:

The computation of the balance of the Accumulated Depreciation account at the end of 2019 is as follows;

But before that the depreciation rate is

= 1 ÷ 5 × 2

= 40%

For the first year, the depreciation expense is

= $66,000 × 40%

= $26,400

Now for the 2019, the depreciation expense is

= ($66,000  - $26,400) × 40%

= $15,840

Now the accumulated depreciation is

= $26,400 + $15,840

= $42,240

6 0
3 years ago
PLEASE GIVE ME AN EXPLANATION ON HOW TO DO THIS OR DO IT FOR ME I REALLY NEED THIS SO I CAN PASS
CaHeK987 [17]

Answer:

hii can we be friends

अनुपात के लिए प्रतिशत कैसे प्राप्त करें

अनुपात अक्सर एम: एन या एम / एन के रूप में व्यक्त किए जाते हैं। अनुपात को प्रतिशत के रूप में परिवर्तित करने के लिए, केवल m को n से विभाजित करें और फिर परिणाम को 100 से गुणा करें।

अनुपात को प्रतिशत में बदलने के लिए कदम

रूपांतरण में तीन सरल चरण होते हैं:

चरण 1: पहली संख्या को दूसरी संख्या से विभाजित करें

चरण 2: प्रतिशत में बदलने के लिए 100 से गुणा करें

चरण 3: प्रतिशत प्रतीक जोड़ें (%)

उदाहरण के लिए , यदि अनुपात 12: 4 है, तो इसे प्रपत्र 12/4 में बदल दें, जो एक समीकरण है जिसे हम हल कर सकते हैं। उसके बाद, प्रतिशत प्राप्त करने के लिए परिणाम को 100 से गुणा करें।

<h2>12 3 4 = 3 </h2>

<h2>3 × 100 = 300%</h2>

अनुपात के लिए प्रतिशत को हल करने के लिए समीकरण

5 0
3 years ago
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