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Question 5 1 pts A principal hires an agent to work on a project. The agent can either work hard (H) or not (N). If
Question 5 1 pts A principal hires an agent to work on a project. The agent can either work hard (H) or not (N). If the agent works hard the project succeeds with prob. 0.92 and fails otherwise. If the agent doesn't work hard, the project succeeds with prob. 0.75. Assume the cost of working hard is $150 and cost of not is zero. The principal will pay the agent $100 if the project fails. What is the least amount the principal needs to pay for project success in order to induce the agent to choose H? 0 $974 0 $983 0 $995 0 $999
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