Identify the maximum amount you will pay for insurance

Reference no: EM13222432

you earn $30,000 annal income and you are risk averse. every year there is a 10% chance that you will loose $30,000 due to burglary and 90% chance that will loose nothing. Identify the maximum amount you will pay for insurance that completely covers you from burglary loss.

Reference no: EM13222432

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