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(4) Suppose there are 100 loans, and fix the value K that you found in question (3). Substitute your expression (2) into the formula above to compute the probability of 5 defaults when s = 3, when s = 2, when S = 1, when š = 0 , when S--1, when S--2, and when s -3. Table your 7 results below:N! N-m k = -1.645

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