Assume the log-normal model. The spot price is $100. Theexpected rate of return is 10%. The volatility is 20%. Therisk-free rate is 3%. A ??power

Assume the log-normal model. The spot price is $100. Theexpected rate of return is 10%. The volatility is 20%. Therisk-free rate is 3%. A â??power derivativeâ? pays you the square ofthe underlying 2 answers