1. 5.33 Consider the stock price process {St} from Section 5.8.6. Verify that the proba bility of the stock price increasing to aS0 without falling down first to bS0 equals

[1 −b2(μ−1 2σ2)/σ2]/[1 − (b/a)2(μ−1 2σ2)/σ2] for 0 < b < 1 < a.