otherwise Find the expected value of g(X) = exp (3x/4)

Let f(x) = (x-1)/(x+1)

Question 23 > Suppose f(10) = 7 and g(10) = 3. %3D 1. (f – 9)(10) %3D 2. (fg)(10) = () 3. (10) A decimal is not an acceptable answer. 4. |(10) A decimal is not an acceptable answer. Submit Question

A individual, with a utility function lnW and an initial wealth level W0, is faced with a fair gamble of winning or losing $h (where W0 > h > 0) with 50-50 chance. (a) Is this individual risk averse? Explain.(b) Suppose that the individual is willing to pay up to an amount of f in order to avoid such a gamble. Give the equation that determines f, and solve the equation for f (i.e., express f in terms of W0 and h). (c) Show that f increases as h increases.