Question: Find the probabilities you found in Exercise 4.55 by assuming that for each stock P(R) =.6, P (U) =.1, and P (D) = .3, and
P(R) =.6, P (U) =.1, and P (D) = .3, and assuming that the two stocks move independently.
Base on The following situation: An investor holds two stocks, each of which can rise (R), remain unchanged (U), or decline (D) on any particular day.
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