An individual has a vNM utility function over money of u(x) = Vx, where x is final wealth. Assume the individual currently has $16. He is offered a lottery with three possible outcomes; he could gain an extra $9, lose $7, or not lose or gain anything. There is a 15% probability that he will win the extra $9. What probability, p, of losing $7 would make the individual indifferent between to play and to not play the lottery? (Make sure to answer in the form, 0.X, i.e. 0.25) Enter your answer here

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