Bob has M dollars and has a constant absolute risk aversion a for some a> 0. With some probability (0, 1), he may meet with an accident. He will have to spend L dollars in case of an accident. There is an insurance policy that fully covers his expenses in case of an accident and costs P to Bob. If Bob decides to buy the policy, he needs to pay P regardless of whether he gets involved in an accident or not. (a)Find the set of prices P that Bob is willing to pay for the insurance policy. (b) ( How does the maximum price Bob is willing to pay varies with the parameters M, L, a, and