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Suppose my utility function for asset position x is given byu(x)=x100. I now have $24,212 and am considering the following two lotteries: L1: With probability

Suppose my utility function for asset position x is given byu(x)=x100.

I now have $24,212 and am considering the following two lotteries:

L1: With probability 0.5 I gain $10000

With probability 0.5 I lose $10000

L2: With probability 0.85 I gain $1,596

With probability 0.15 I lose $8,960

What is the risk premium of L2? Round your answer to the nearest integer.

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