a) In the past few years, the traffic problem in McKell's hometown have gotten worse. Now Broad street is congested about half the time . The normal travel time for McKell is only 15 minutes when Broad Street is used and there is no congestion With congestion, however , it takes McKell 40 minutes to get ton work .If McKell decides to take the expressway, it will take 30 minutes regardless of the traffic conditions. McKell's utility for travel time is (15 minutes)=0.9,U(30 minutes)=0.7,U(40 minutes)=0.2 dot (1) Determine which route will minimize McKell's travel time. (5 marks) ii Determine which route will maximize McKell's utility. (4 marks) iii With a reason is McKell a risk seeker or a risk avoider. (1 mark)

i) To determine which route will minimize McKell's travel time, we need to compare the travel times for each route. The normal travel time using Broad Street is 15 minutes, but with congestion, it takes 40 minutes. If McKell takes the expressway, it will take 30 minutes regardless of the traffic conditions. Therefore, the route that will minimize McKell's travel time is the expressway.<br /><br />ii) To determine which route will maximize McKell's utility, we need to compare the utility values for each travel time. The utility value for 15 minutes is 0.9, for 30 minutes is 0.7, and for 40 minutes is 0.2. Since McKell's utility for 15 minutes is the highest, the route that will maximize McKell's utility is the normal travel time using Broad Street when there is no congestion.<br /><br />iii) McKell is a risk avoider because he prefers the normal travel time using Broad Street when there is no congestion, which has a higher utility value compared to the other options.