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Melissa wanted to buy Apple Inc. stock, which had a price range of $ 4 0 9 to $ 5 8 2 a month later.

Melissa wanted to buy Apple Inc. stock, which had a price range of $409 to $582 a month later. The current share price is $488. Her broker advises her that the price of this share could rise to $522 within the next month or so, so she should purchase a one-month Call of Apple. To be prudent in purchasing the call, the share price should be greater than or equal to $522, which her broker could not guarantee. Though she understands the market's uncertainty, she wants to know the probability of reaching the share price of $582 so that she can justify purchasing a one- month Call of Apple at the execution price of $522. Take the continuous compounded risk-free interest to be 3.60% p.a.
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