Fred O'Range and Ted O'Range are UT sports fans. Each has $60 of wealth available to make an even-money bet, of any amount between $0 and $60, that UT will win the NCAA volleyball title. If a bet of amount B is placed on UT to win, then the bettor's wealth will be 60 + B in the event that UT wins and 60 - B in the event that UT loses. Both Fred and Ted believe that the probability that UT will win is 5 (and so the probability that UT will lose is ?). Fred's utility function over certain levels of wealth is U (W) = In W. Ted's utility function over certain levels of wealth is U (W) = W1/2 Which of the following statements correctly describes Fred's and Ted's preferences towards risk? Fred is risk-averse and Ted is risk-neutral. Fred is risk-neutral and Ted is risk-neutral. Fred is risk-averse and Ted is risk-averse. Fred is risk-neutral and Ted is risk-averse