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Stock prices are modeled using a lognormal model. The price of a nondividend paying stock at time t is St. You are given 1) the
Stock prices are modeled using a lognormal model. The price of a nondividend paying stock at time t is St. You are given 1) the continuously compounded annual rate of return on the stock is 0.1, and 2) the stock's volatility is 0.25. Calculate Pr{S(3)
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