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A bank issues a loan to a borrower in the amount of $10,000. If the borrower has a successful project, he will repay the bank $10,416.66 and if he has an unsuccessful project he will default and repay zero. At what probability of project success will the expected loan repayment to the bank equal the $10,000 that the bank issued?

0.81

0.87

0.91

0.96

Basic Finance, Finance

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