The price of a share is currently $50. Assume that the stock's expected return is 18% per year and its volatility is 30% per year. What is the probability distribution of the stock price in two years? Find the mean and standard deviation of the distribution. Determine the 95% confidence interval.

Answer rating: 100% (QA)

To determine the probability distribution of the stock price in two years we will use the expected r... View the full answer