Use the Information for the Question(s)below

question 8

Multiple Choice

Use the information for the question(s) below.
The current price of KD Industries stock is $20.In the next year the stock price will either go up by 20% or go down by 20%.KD pays no dividends.The one-year risk-free rate is 5% and will remain constant.
-The risk-neutral probability of an up state for KD Industries is closest to:

• A)37.5%.
• B)60.0%.
• C)40.0%.
• D)62.5%.

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Definitions:

Gender Dysphoria

Gender Dysphoria is a psychological condition characterized by a conflict between a person's physical or assigned gender and the gender with which they identify.

Fetishism

A sexual preference or fixation on inanimate objects, specific body parts, or non-genital body features, leading to sexual arousal and satisfaction.

Sexual Dysfunction

Disorders related to a person's sexual response cycle, leading to distress or difficulty experiencing sexual satisfaction.

Gender Dysphoria

A psychological condition characterized by a significant distress or discomfort caused by a discrepancy between a person's gender identity and their sex assigned at birth.