Calculating maximum insurance premium with uncertainty
1 Consider a von Neumann-Morgenstern individual whose utility function is logarithmic, ie u(w)=ln(w), where w is wealth Given thatthe individual faces the prospect of gaining or losing an amount of wealth with equal probability, determine the maximum insurance premium that the individual is prepared to pay
Canadian Treasury bills with 1-year to maturity have a yield to maturity of 0.98% peryear. If you expect inflation to be 1.4% per year over the upcoming year, what is your expected real rate of return?
Create a BCG Matrix for JetBlue Airways. Recommend speci?c strategies and long-term objectives. Show how much your recommendations will cost. Clearly itemize these costs for each projected year. Compare your recommendations to actual strategies planned by the company.