(15 points) Prospect Theory Assume that our investor uses Prospect Theory to evaluate lotteries, i.e., her valuation of a lottery (x,p;y,q) is: V=w(p)v(x)+w(q)v(y) Suppose she has got $6 with her today (hint: reference point). On her way to College she stops at a temple fair, where she can play the following game: She has to give up her $6. Then with a chance of 75% she can get $60,& with a chance of 25% she can get $4. The alternative is not playing, which yields v(0)=0. Suppose further that: w(p)v(x)=p.=xifx>=0(domainofgains)=2(x)ifx