simple Matlab code for Black Scholes: d1 = (log(S / X) + (b + v ^ 2 / 2) * T) / (v * T^0.5);
I have simple Matlab code for Black Scholes: b=r; d1 = (log(S / X) + (b + v ^ 2 / 2) * T) / (v * T^0.5); d2 = d1 – v * T^0.5; I question: v * T^0.5) Is this not supposed to be d1=(log(S/X)+(r+v^2/2)*T)/(v*sqrt(T)); d2=d1-v*sqrt(T); Who …
