The Risk Company is looking to balance a $$250,000$ potential loss against a new safety program. The Risk Company has hired you to advise them on how much

to spend on the safety program. Below are the loss probabilities associated with each safely expenditure level.

$30\%$ Loss Probability$/$so Safety Expenditures

$25\%$ Loss Probability $1510,000$ Safely Expenditures

$18\%$ Loss Probability $1520,000$ Safely Expenditures

$13\%$ Loss Probability $1530,000$ Safety Expenditures

$10\%$ Loss Probability $1540,000$ Safety Expenditures

$$\%$ Los's Probability$/$$$50,000$ Safety Expenditures

What is the expected loss margin with a $$10,000$ safely expenditure?

$$0$ $$17,500$ $$5,000$ $$12,500$