Kim has to transfer 100 eggs to her factory. She can put all of her eggs in a single basket, or she can split her load into two medium baskets. Each basket, regardless of size, has the same chance of falling and spoiling all of its contents. (a) If Kim is risk neutral, which mode of transport she would prefer? (b) If Kim is risk-averse, which mode of transport she would prefer? (c) If Kim is risk seeking, which mode of transport she would prefer? (d) Would the answers to b) and c) change if there were five baskets avail- able? (e) Give an economic explanation for the phrase "Don't put all of your eggs in one basket".