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The time-t price of a stock is St. You are given: (1) The continuously compounded annual rate of return on the stock is 0.12. (2)

The time-t price of a stock is St. You are given:

(1) The continuously compounded annual rate of return on the stock is 0.12.

(2) The stock's volatility is 0.5.

(3) The stock pays no dividends.

4) S0=60

Calculate the probability that S4S4 is at least 100.

(4) S0=60S0=60.

Calculate the probability that S4 is at least 100.

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