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A n investor has two options: 1 . A bond that guarantees a payoff of $ 1 1 . 2 . A stock that pays
investor has two options:
A bond that guarantees a payoff of $
A stock that pays $ in a good state with a probability of and loses $ in a bad state with a probability of
Assume the investor's utility function is UW the wealth.
What the utility that the investor obtains from the bond investment?
Round the nearest whole number.
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