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A stock has a current share price of $100/share. Let X represent the dollar amount by which its price will change over the next one
A stock has a current share price of $100/share. Let X represent the dollar amount by which its price will change over the next one week. Assume X is normally distributed, with E(X)=0.10, and standard deviation of 0.50.
Question) Now examine the price of this stock one year from now (52 weeks). Suppose that each weekly price change of the stock is described by this distribution of X. In addition, suppose weekly
price changes are independent. Find the probability that after one year, the stock's value will be between $99 and $111.
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