If follows the geometric Brownian motion process in equation (14.6), what is the process followed by (a)
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If follows the geometric Brownian motion process in equation (14.6), what is the process followed by
(a) y = 2S,
(b) y = S2,
(c) y = eS,
(d) y = er(T-t)/S. In each case express the coefficients of dt and dz in terms of rather than S.
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a In this case and so that Its lemma gives o...View the full answer
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