$1.$ Consider Table $2\mathrm{.}2$ in text. Suppose that income before tax is normally distributed with mean $0\mathrm{.}5$ and standard deviation $2\mathrm{.}8.$ The marginal tax rate is $30\%.$ What is the probability that the equity will be wiped out in one year? Assume that losses can be carried back to offset taxes paid in previous years. $($For example, a loss of $4$ would become a loss of $2\mathrm{.}8(=4*(1-0\mathrm{.}3))$ after taxes are taken into account$).$