John wants to purchase a bond which will pay him X thousand dollars after two years, where X is equally likely to be any of the numbers in the set (0,

John wants to purchase a bond which will pay him X thousand dollars after two years, where X is equally likely to be any of the numbers in the set (0,1,2,3,4,5). John believes that the continuously compounded rate of interest, R, is independent of X and has a uniform distribution on the interval (0.04, 0.08). The present value of this bond after two years is given by V = Xe. Compute the mean of the present value of the bond.

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