What is the probability that the stock price will be


A stock price is currently 50. Its expected return and volatility are 12% and 30%, respectively. Assume that its year-end price follows a lognormal distribution (i.e., ln(ST /50) follows a normal distribution, where T = 1). What is the probability that the stock price will be greater than 60 in 1 year?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: What is the probability that the stock price will be
Reference No:- TGS02259999

Expected delivery within 24 Hours