L J l' ' ' l" Question 2 Let's consider a world with only two dates: Today and Tomorrow. There are three possible states tomorrow: Burst, Normal, and Boom. We have three risky stocks X, Y, Z traded in the market. The current prices and future possible payoffs of these risky stocks, if they are known, are reported in the following table Tomorrow payoff The (net) simple interest rate in the market is given to be r = 0%. Assume that there are no arbitrage Opportunities in the market. 2.a What are the risk neutral probabilities of the states Burst, Normal, Boom? 2.b What is the current price of stock Z? n . -Al . ..n .n\" .. n\