You must choose between the two projects below. What is the EMV for each? Looking at your own personal Risk Utility Function, which project would you select and why?

Project 1 has a 70% chance of earning $500,000, and a 30% chance of losing $100,000.

Project 2 has a 20% chance of earning $2 million, a 20% chance of earning $1 million, and a 60 percent chance of losing $500,000.

Please show your work in the form of a decision tree.