## Question

###### (10 points) We consider commodity with daily price changes being independent and iden- tically distributed according to some unknown distribution with mean 0.01 and variance 1/2. Let Co be the price of the commodity today and Cn the price of the commodity in n days Make an asymptotic statement about the probability P[Cn > Co] as n 0 and compute the approximate values for n 50,1000 and 10000_

(10 points) We consider commodity with daily price changes being independent and iden- tically distributed according to some unknown distribution with mean 0.01 and variance 1/2. Let Co be the price of the commodity today and Cn the price of the commodity in n days Make an asymptotic statement about the probability P[Cn > Co] as n 0 and compute the approximate values for n 50,1000 and 10000_

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