Q4. Suppose that you are an expected utility maximizer. When offered a choice between: (A): $30 with probability 0.5 (B): $70 with probability 0.2 $20 with probability 0.5 $30 with probability 0.4 $0 with probability 0.4 Suppose you choose A. Here u(0)=0. 04.1) (5 points) Now you are offered a choice between (C): $70 with probability 0.2 (D): $30 with probability 0.3 $30 with probability 0.2 $20 with probability 0.5 $0 with probability 0.6 $0 with probability 0.2 Which would you choose? Show your calculation. 04.2) (5 points) Calculate the average payoff of each of the above options. Show your calculation. A: B: C: D: 04.3) (5 points) Assume we are going to do an experiment that asks subjects to rst pick between A and B, and then pick between C and D. What result can we expect to see from this experiment based on the prior literature