The probability that the stock price will be greater than

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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?

Reference no: EM131996500

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