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2.1 A stock price has an expected return of 15% and a volatility of 25%. It is currently $56. 2.1.1 What is the probability that

2.1 A stock price has an expected return of 15% and a volatility of 25%. It is currently $56.

2.1.1 What is the probability that it will be greater than $85 in two years? (4)

2.1.2 What is the stock price that has a 5% probability of being exceeded in two years? (2)

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