You are deciding whether to extend credit to a customer who has recently opened a business. You assume that if you extend her credit, she will become a loyal customer, purchasing from you year after year. If you deny her credit, she will no longer order from you.

You estimate that there is an $80\%$ chance she will pay her bill. The manufacturing cost of the product is $$10,000,$ the sale price is $$12,000,$ and you choose $15\%$ as a discount rate.

What is the present value of the customer's business?