--%>

Who derived the Black–Scholes Equation

Who derived the Black–Scholes Equation?

E

Expert

Verified

Fischer Black, Myron Scholes and Robert Merton derived the Black–Scholes equation for options in the early seventies, publishing it in two separate papers in 1973.

   Related Questions in Mathematics

  • Q : Row-echelon matrix Determine into which

    Determine into which of the following 3 kinds (A), (B) and (C) the matrices (a) to (e) beneath can be categorized:       Type (A): The matrix is in both reduced row-echelon form and row-echelon form. Type (B): The matrix

  • Q : State Fermat algorithm The basic Fermat

    The basic Fermat algorithm is as follows: Assume that n is an odd positive integer. Set c = [√n] (`ceiling of √n '). Then we consider in turn the numbers c2 - n; (c+1)2 - n; (c+2)2 - n..... until a perfect square is found. If th

  • Q : Relationships Between Data Introduction

    Relationships Between Data - Introduction to Linear Regression Simple Regression Notes If you need guidance in terms of using Excel to run regressions, check pages 1 - 10 of the Excel - Linear Regression Tutorial posted to th

  • Q : Statistics Caterer determines that 37%

    Caterer determines that 37% of people who sampled the food thought it was delicious. A random sample of 144 out of population of 5000. The 144 are asked to sample the food. If P-hat is the proportion saying that the food is delicious, what is the mean of the sampling distribution p-hat?

  • Q : Area Functions & Theorem Area Functions

    Area Functions 1. (a) Draw the line y = 2t + 1 and use geometry to find the area under this line, above the t - axis, and between the vertical lines t = 1 and t = 3. (b) If x > 1, let A(x) be the area of the region that lies under the line y = 2t + 1 between t

  • Q : Elasticity of Demand For the demand

    For the demand function D(p)=410-0.2p(^2), find the maximum revenue.

  • Q : Probability and Stochastic assignment

    Introduction to Probability and Stochastic Assignment 1: 1. Consider an experiment in which one of three boxes containing microchips is chosen at random and a microchip is randomly selected from the box.

  • Q : Linear programming model of a Cabinet

    A cabinet company produces cabinets used in mobile and motor homes. Cabinets produced for motor homes are smaller and made from less expensive materials than those for mobile homes. The home office in Dayton Ohio has just distributed to its individual manufacturing ce

  • Q : Define Big-O notation Big-O notation :

    Big-O notation: If f(n) and g(n) are functions of a natural number n, we write f(n) is O(g(n)) and we say f is big-O of g if there is a constant C (independent of n) such that f

  • Q : How do it? integral e^(-t)*e^(tz) t

    integral e^(-t)*e^(tz) t between 0 and infinity for Re(z)<1