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On January 1, Monty Inc. completed its analysis of the prospects for the Geriatric Toy Store and concluded that there was a 20percent chance the

image text in transcribed On January 1, Monty Inc. completed its analysis of the prospects for the Geriatric Toy Store and concluded that there was a 20percent chance the stock price would be $135 in one year and an 80-percent chance the stock price would be $185. Six months later, Monty Inc. revised its estimated probabilities to a 35 -percent chance of a stock price of $135 and a 65 percent chance of $185. If the market agrees with Monty Inc.'s revised probabilities, what is the expected change in stock price from January 1 to July 1 ? Assume the discount rate is zero. (Round answer to 2 decimal places, e.g. 15.25.) Expe Attempts: 0 of 3 used

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