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Question A.1 Briefly describe the model for stock prices that underlies the Black-Scholes option pricing analysis. Do you think it is a reasonable representation of

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Question A.1 Briefly describe the model for stock prices that underlies the Black-Scholes option pricing analysis. Do you think it is a reasonable representation of real-world stock price movements? [Write no more than half of a page of A4] (6 marks)

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