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Find the probability that a call option on the stock

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Reference no: EM132730284

One share is currently selling for $ 100. The stock pays dividends at a continuous compound annual yield of 3%. The annual rate of return on stocks is 15% and the annual standard deviation is 30%. Find the probability that a call option on the stock with a strike price of $ 125 will expire "in the money" within two years.

Reference no: EM132730284

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