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Tom has a utility function U(Y)= 18 + 10Y ^ 0.5 , where Y is income. Tom faces an opportunity to invest his savings of
Tom has a utility function U(Y)= 18 + 10Y ^ 0.5 , where Y is income. Tom faces an opportunity to invest his savings of $50,000. there is 0.4 chance for him to earn $1600, and a 0.6 chance for him to earn $6400. what is the certain income cooresponding to the expected utility of this investment opportunity? do not round your calculations until you reach the final answer. round then to two decimal places
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