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A stock price is log-normally distributed, i.e., lnST(lnS0+(r22)T,T). Consider a derivative on the stock with the time to expiration T and the following payoff: {0if

A stock price is log-normally distributed, i.e.,

lnST(lnS0+(r22)T,T).

Consider a derivative on the stock with the time to expiration T and the following payoff: {0if ST

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