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Finn Annshaj increases his salary with his own investments. The table below shows Finn's marginal utility of money. table 4: There is a marginal benefit
Finn Annshaj increases his salary with his own investments. The table below shows Finn's marginal utility of money.
Pengar 0 Marginalnytta 100 10 000 75 20 000 60 30 000 50 40 000 45 50 000 42 60 000 40 70 000 38 80 000 3 35 90 000 Pengar 0 Marginalnytta 100 10 000 75 20 000 60 30 000 50 40 000 45 50 000 42 60 000 40 70 000 38 80 000 3 35 90 000 table 4: There is a marginal benefit of an increase of SEK 10,000 at different levels.
Finn has a capital of SEK 30,000 after his fixed costs have been paid that he wants to use to invest. Finn has the opportunity to invest in a high-risk project in items of 10,000
Finn estimates that there is a 50 percent risk of losing the entire bet and that there is a 50 percent chance of tripling the bet. How much of its capital does Finn invest in projects? Assume that Finn wants to maximize his expected benefit,
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