An asset’s price for T ≥ 0 can be modeled as a Geometric Brownian Process, and given as
S(T) = S(0)e(µ− σ2 2 )T +σW(T) ,
where µ = asset’s expected yearly return σ = asset’s yearly volatility.
Let S(0) = 100, µ = 0.25, and σ = 0.6 be given. Find the probability that the stock price exceeds 120 after one year.