E14: Suppose that the current price of ABC is 20 . a) What is the expected stock price in nine month's time if we assume that the drift rate is u = 30% per annum, and volatility o = 20% per annum? (0.2 points); b) What is the probability that the stock price in nine month's time is higher than 20 ? (0.5 points); c) What is the probability that the stock in nine month's time is between 18 and 20 (0.5 points); d) What is the probability that the stock price in nine month's time is lower than 18 given that the stock price is lower than 20 ? (0.3 points). Use the standard normal table to answer these questions. E14: Suppose that the current price of ABC is 20 . a) What is the expected stock price in nine month's time if we assume that the drift rate is u = 30% per annum, and volatility o = 20% per annum? (0.2 points); b) What is the probability that the stock price in nine month's time is higher than 20 ? (0.5 points); c) What is the probability that the stock in nine month's time is between 18 and 20 (0.5 points); d) What is the probability that the stock price in nine month's time is lower than 18 given that the stock price is lower than 20 ? (0.3 points). Use the standard normal table to answer these questions