An investor with a total wealth of $101} is faced with the following opportunities. First, he may invest $l now and receive $144 if there are good times, but receive $54 if there are bad times. The investor estimates that good times happen with 5U% prohabilitye can also bu:,.r an investor newsletter whether good times or bad times will occur. {a} Draw the decision tree that illustrates the options available to the investor and the payoffs to the different options. Dene P as the price of the newsletter. {b} If the investor is riskneutral with U[M} = M, where M is income, how much would he he willing to pay for the subscription to the newsletter? {c} If the investor is riskaverse with utility U(M} = M95, where Mr is income, how much would this investor be willing to pag.r for the subscription to the newsletter? {d} Suppose that the owner of the newsletter estimates that there are T5 riskaverse investors like those of part {c} and 25 investors like those of part[h]l. If it costs zero to produce the newsletter, how should the newsletter be priced assuming {1'} that the owner wishes to maximise the prots of the news letter and {ii} that this is the only newsletter available to investors