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Question 12 2 pts Please enter your numerical answer rounded to the nearest single decimal place, such as 2.0 or -15.5. Do not use commas
Question 12 2 pts Please enter your numerical answer rounded to the nearest single decimal place, such as 2.0 or -15.5. Do not use commas within your numerical response. Diblo's friend Triblo has also bought a house on the Hayward fault and is thinking about earthquake insurance. His wealth W = $3,000,000. An earthquake would destroy his house and reduce his wealth by $1,000,000. Triblo views the probability of such a quake to be 10%. Triblo's utility is U = 111(W + 1000) where W is wealth in dollars and |n(...) is the natural log function, which is the inverse function of (\"undoes\") the exponential function, exp(...). 0 What is the most Triblo would be willing to pay for insurance coverage that would compensate him for the full value of his loss if an earthquake occurs
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