(Answered) Suppose you need to pay your air-ticket of 2400 for a

Management Studies

Suppose you need to pay your air-ticket of $2400 for a European trip in 12 months. If you deposit money now, you can earn 7% per annum with a 50% probability, 6% with a 25% probability and 8% with a 25% probability. How much do you need to invest today?

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