Question: All information is given Problem 2. Consider the stochastic process in the standard form dS(t) = u(t, S(t) )at + o(t, S(t) )dW (t) and

All information is given

Problem 2. Consider the stochastic process in the standard form dS(t) = u(t, S(t) )at + o(t, S(t) )dW (t) and the derived process with Y (t) = f(t, S(t) ) Find dY (t) for the following functions: 1. f (t, s) = $2 +t 2. f (t, s ) = 1+ 2t+ eW(t) 3. f(t, s) = 1+ 2t+ es(t) 4. f(t, s) = tcos(S(t) )

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