Question: 3. Determine the probability that the following tree reflecting a stockivestement has a rate of return higher than 5%per year. There is equal chances (50/50)

3. Determine the probability that the following tree reflecting a stockivestement

3. Determine the probability that the following tree reflecting a stockivestement has a rate of return higher than 5%per year. There is equal chances (50/50) keeping ther stock 3 years versus 5 years. PROB sou FOR: HOLD FOR 30% $30 sor $32 3 $ 40 207. Bug srock FOR $25 2014 $ 35 5 50% $41 + $50 301 1

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