Smith just bought a house for $250,000. earthquake insurance, which would pay $250,000 in the event of a major earthquake, is available for $25,000. smith estimates that the probability of a major earthquake in the coming year is 10 percent, and that in the event of such a quake, the property would be worth nothing. the utility (u) that smith gets from income (i) is given as follows:

u(i) = i0.5. (smith’s utility is the square root of her income.
should smith buy the insurance?
a) yes.
b) no.
c) smith is indifferent.
d) we need more information on smith's attitude toward risk.

Norton manufacturing expects to produce 2,900 units in january and 3,600 units in february. norton budgets $20 per unit for direct materials. indirect materials are insignificant and not considered for budgeting purposes. the balance in the raw materials inventory account (all direct materials) on january 1 is $38,650. norton desires the ending balance in raw materials inventory to be 10% of the next month's direct materials needed for production. desired ending balance for february is $51,100. what is the cost of budgeted purchases of direct materials needed for january? $58,000 $65,200 $26,550 $25,150

On january 1, 2017, sophie's sunlounge owned 4 tanning beds valued at $20,000. during 2017, sophie's bought 3 new beds at a total cost of $14 comma 000, and at the end of the year the market value of all of sophie's beds was $24 comma 000. what was sophie's net investment

Which of the following would be an accurate statement about achieving a balanced budget