A} Yuri owns just one ship. The ship is worth Slt} million dollars. 1f the ship sinks, 't'uri loses $200 million. The probability that it will sink is .02. 't'uri's total wealth, including the value of the ship is $225 million. He is an expected utility maximizer with yon Neuman Morgensten utility WW] equal to the square root of W. What is the maximum amount that Yuri would he willing to pay in order to be fully insured against the risk of losing his ship? a)$4 million b}$ 2 million c]$ 3.34 million dl$ 4.32 million c] S 5.9 million B} Harley*s current wealth is $o, but there is a .25 probability that he will lose 5100. Harley is risk averse. He has an opportunity to buy insurance that would restore his 5 l if he loses it. a}Harley would be willing to pay a hit more than $25 for this insurance hJHarley would be willing to pay up to $25 for this insurance c}Since Harley is risk averse, he would not be willing to pay anything for this insurance. it is too risky. d]Since Harley's utility function is not specied, we cannot tell how much he would be willing to pay for this insurance. e}Harley would not be willing to pay more than $16.66 for this insurance