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Apnex, Inc., is a biotechnology firm that is about to announce the results of its clinical trials of a potential new cancer drug. If the trials are successful, Apnex stock will be worth $ 68 per share. If the trials are unsuccessful, Apnex stock will be worth $ 18 per share. Suppose that the morning before the announcement is scheduled, Apnex shares are trading for $ 56 per share.
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