Ub bank is considering to lend money to yale company yale, Ask an Expert

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UB bank is considering to lend money to Yale company, Yale company's cash position, measured in millions of dollars, follows a generalized Wiener process will a drift rate of 3 per quarter and a variance rate of 4 per month The initial cash position is 8. UB bank will lend the money if the borrower's probability of a negative cash position after 16 months is less than 1%. Will UB bank lend money to Yale company or not? Analyze.

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Financial Management, Finance

Category:- Financial Management
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