As part of the acquisition agreement, Chi Corp. agrees to pay the former shareholders of Psi Corp. $1.5 in cash for every dollar of gross revenues above $35,000,000 reported by Psi at the end of the first year following acquisition. Chi projects the following outcomes for the year:

Gross revenues	Probability
$25,000,000	0.10
$35,000,000	0.30
$45,000,000	0.25
$55,000,000	0.20
$65,000,000	0.15

Required: Using a 14 percent discount rate, what is the appropriate value to be reported as an earnings contingency liability on Chi’s books at the date of acquisition?