1. Fill in the table below for two individuals: Potter and Hermione. They each have the same income, probability of illness and health costs when ill. Assume that each person has an income of $ 100. 70% of the time the individual is healthy and all income goes towards consumption (c). 30% of the time the individual gets sick and has health costs of $75 leaving only $25 for consumption. Round any answers to the nearest penny.

Utility function U : 0 Expected Consumption without Insurance Expected Health Costs Expected Utility without Insurance Certainty Equivalent (income with certainty that would provide the same utility as no insurance)