Global Gas International offers to contract the Halidurton Heavy Construction Corporation to build an oil pipeline from Canada to New Orleans that will provide Halidurton $600 million in income. The probability that the oil pipeline will leak, causing environmental damage is theta. If so, the legal liability will be $6 comma 000 million. If Halidurton is risk neutral and liable for the damages from a leak, what is the theta such that it is indifferent between accepting and rejecting the contract? Halidurton is indifferent between accepting and rejecting the contract if theta equals nothing percent. (Enter your response rounded to the nearest whole number.)
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Global Gas International offers to contract the Halidurton Heavy Construction Corporation to build a...
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