Assuming a coefficient of risk aversion of 2.5 and utility defined by U = E(r) - 1/2A (r), how much should a home owner be willing to pay to insure their $600,000 home and contents completely against fire (assume complete destruction) if the assumed probability of such a fire is 0.6% in any given year. Assuming a coefficient of risk aversion of 2.5 and utility defined by U = E(r) - 1/2A (r), how much should a home owner be willing to pay to insure their $600,000 home and contents completely against fire (assume complete destruction) if the assumed probability of such a fire is 0.6% in any given year