In the Black-Scholes option pricing formula,N(d)is the probability that a standardized,normally distributed random variable is:

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In the Black-Scholes option pricing formula, N(d) represents the cumulative distribution function of a standardized, normally distributed random variable. The probability that this random variable is less than or equal to d is given by N(d), therefore the correct option is E.

In the Black-Scholes Option Pricing Formula,N(d)is the Probability That a Standardized,normally