A risk-neutral individual would:
A. prefer a risky prospect with the expected value of $0.50 to $5 with certainty.
B. be indifferent between a risky prospect with an expect value of $5 to a certain amount of $5.
C. prefer a risky prospect with an expected value of $5 to a certain amount of $5.
D. prefer $5 with certainty to a risky prospect with the expected value of $5.
Answer: B
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