Given the Following Ito Process for a Stock $d S _ { t } = 0.2 S _ { t } d t + 0.4 S _ { t } d W$

question 7

Multiple Choice

Given the following Ito process for a stock: $d S _ { t } = 0.2 S _ { t } d t + 0.4 S _ { t } d W$ ,what is the expected value of the stock after 3 years if the current price of the stock is $50?

• A)$71.67
• B)$86.40
• C)$91.11
• D)$115.82

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