Explain boundary/final conditions in Monte Carlo method
Explain boundary/final conditions in Monte Carlo method.
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Boundary/final conditions: These play a very the same role as in finite differences. The last condition is the payoff function and the boundary conditions are where we implement trigger levels and many more.
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Explain the programme of study of Monte Carlo method.
Illustrates a case of a static arbitrage and model-independent arbitrage?
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Explain the term PGARCH as of the GARCH’s family.
Explain the effect of a change in the discount rate on present value.
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Explain distribution of individual numbers or random numbers.
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