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The value of a stock follows a Geometric Brownian motion, with drift of 35% and diffusion of 13%. The stock pays dividends proportional to its

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The value of a stock follows a Geometric Brownian motion, with drift of 35% and diffusion of 13%. The stock pays dividends proportional to its price an annual rate of 13%. The current stock price is $87. Calculate the probability that the stock price is at least $170 in 10 years. (A) 0.94 (B) 1.02 (C) 0.98 (D) 1.00 (E) 0.96 The value of a stock follows a Geometric Brownian motion, with drift of 35% and diffusion of 13%. The stock pays dividends proportional to its price an annual rate of 13%. The current stock price is $87. Calculate the probability that the stock price is at least $170 in 10 years. (A) 0.94 (B) 1.02 (C) 0.98 (D) 1.00 (E) 0.96

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