Problem 7. (5 points total) A player is choosing between two lotteries. One lottery pays this period either 80$ with 25% chance or 20$ with 75% chance. The second lottery is a dice roll and then a coin flip, however the payoff from this lottery is payed after one period. If the number is odd Heads pays 100$ and otherwise. If the dice roll is even Tails pays 120$ but Heads leads to -40$. Draw the decision tree for this problem. What is the value of the interest rate (not the discount factor) that makes the player/decision maker (who is risk neutral) to be indifferent between the two lotteries? Problem 7. (5 points total) A player is choosing between two lotteries. One lottery pays this period either 80$ with 25% chance or 20$ with 75% chance. The second lottery is a dice roll and then a coin flip, however the payoff from this lottery is payed after one period. If the number is odd Heads pays 100$ and otherwise. If the dice roll is even Tails pays 120$ but Heads leads to -40$. Draw the decision tree for this problem. What is the value of the interest rate (not the discount factor) that makes the player/decision maker (who is risk neutral) to be indifferent between the two lotteries