A risk-averse investor with assets of $10,000 has an opportunity to invest $5000 in a venture that is equally likely to pay either $16,000 (i.e., profit is $11,000) or nothing (i.e., will lose the whole invested amount). The investor's utility function can be described by the following function: U(x) = In(x) x 12000, where x is his total wealth. a. Considering that the investor is risk-averse, should he invest or not invest? (2 points) b. Now, suppose that the investor can consult a clairvoyant who can reveal the outcome of the venture exactly. What is the EVPI of this information? (4 points) C. Suppose that BorsaX can provide information on the future of the investment. Their past experiences show that on the occasion in which an investment is successful, %90 of the time they say that investment will be successful. On the other hand, on the occasions where the investment is unsuccessful, they predict it %80 of the time. BorsaX asks for $500 to provide this information. Should investor accept this information? (6 points) A risk-averse investor with assets of $10,000 has an opportunity to invest $5000 in a venture that is equally likely to pay either $16,000 (i.e., profit is $11,000) or nothing (i.e., will lose the whole invested amount). The investor's utility function can be described by the following function: U(x) = In(x) x 12000, where x is his total wealth. a. Considering that the investor is risk-averse, should he invest or not invest? (2 points) b. Now, suppose that the investor can consult a clairvoyant who can reveal the outcome of the venture exactly. What is the EVPI of this information? (4 points) C. Suppose that BorsaX can provide information on the future of the investment. Their past experiences show that on the occasion in which an investment is successful, %90 of the time they say that investment will be successful. On the other hand, on the occasions where the investment is unsuccessful, they predict it %80 of the time. BorsaX asks for $500 to provide this information. Should investor accept this information? (6 points)