Refer to the information provided in Figure 6.8 below to answer the question(s) that follow. Figure 6.8Refer to Figure 6.8. The marginal utility of the third movie rental is

The above figure shows the utility of wealth curve for a homeowner whose only possession is a $50,000 house. If there is a 20 percent chance that the home could be entirely destroyed, the highest price for insurance this person would pay is

A) $0. B) $5,000. C) $10,000. D) $20,000.

Which of the following indifference curves maximizes utility or satisfaction given the consumer's budget line for sodas and cookies? 

A. U1 B. U2 C. U3 D. U4