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Show all steps of calculations Assume that your risk aversion (A) is 3 and that your utility can be described by the following function: U

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Show all steps of calculations

Assume that your risk aversion (A) is 3 and that your utility can be described by the following function: U E(r) - 1/2Ao What is your utility for the following security X: B, 1.4 rm 0.09 f 0.01 2

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