Cullumber Repairs Ltd. has several minor lawsuits outstanding on December 31, 2022. To determine the amount of liability torecognize on the statement of financial position, Cullumber decides to use expected cash flow techniques.Based on discussions with the company's lawyers, Cullumber estimates the expected cash outflows associated with the lawsuits, asshown below.Cash FlowProbabilityExpectedEstimatex Assessment=Cash Flow2023$5,50060%$3,3008,40040%3,360Total$6,6602024$5,30030%$1,5907,20060%4,3208,90010%890Total$6,800Calculate the present value of the lawsuits assuming a risk-free rate of 6% and cash flows occurring at the end of the year. (Forcalculation purposes, use 5 decimal places as displayed in the factor table provided. Round final answer to 2 decimal places, e.g. 5,275.25.)Click here to view Table A.2 - PRESENT VALUE OF 1-(PRESENT VALUE OF A SINGLE SUM)SUPPORTPresent value$