Our Services

Get 15% Discount on your First Order

Define and explain how we can calculate the first and second

May 19, 2023

Q.20 Finite difference methods a) Show how we can tie the methods of finite difference to the trinomial trees.

b) Define and explain how we can calculate the first and second derivatives (calculus) by numerical methods.

c) Explain the method of Crank-Nicholson from the definition of explicit and implicit methods.

Q.21 Using a variance reduction technique like the antithetic variance reduction method, redo Q.15 and compare your result. Discuss other variance reduction techniques. Q.22 Real options. Discuss real options and their use in business valuation (e.g., the valuation of high tech firms). Provide a numerical example using the trinomial tree (or the explicit finite difference method). Show how this approach can be used the value an option to expand. Hint : see Hull (2015), p. 801. Q.23 Volatility estimation methods. Discuss and compare the different methods of calculating volatility. -Explain the approach used in estimating a GARCH model. Donwload a time-series of prices (e.g., SP 500) and estimate an AR(1)-GARH(1,1) using a software of your choice (e.g., EViews, Excel, Matlab, etc.). Analyse your results.

#Define #explain #calculate

Calculate, Define, Explain

Share This Post

Order a Similar Paper and get 15% Discount on your First Order

Related Questions

AASP 201 Assignment Description: You are a citizen of the state of Maryland. A bill has been proposed in the state legislature to create a new license plate

AASP 201 Assignment Description: You are a citizen of the state of Maryland. A bill has been proposed in the state legislature to create a new license plate series called “Enslaved African Americans.”

Business Finance – Management Need this assignment completed

Discover the Charm of Cozy and Affordable Cottages in Mitchell, Oregon

I have questions psyc questions and a Discussion I need help with further details to be discussed upon acceptance

Consider how you would communicate the importance of a healthcare issue

I need a professional cybersecurity phishing training presentation. I have the requirements attached here. There is a matrix of Problems, Outcomes and

I need a professional cybersecurity phishing training presentation. I have the requirements attached here. There is a matrix of Problems, Outcomes and Activities that needs to be addressed as well as

Environmental awareness and organizational sustainability

1. Building off the introductory paragraph you wrote for WIG 1, write the next paragraph to follow it. You will have two fully written paragraphs. 2. Submit a

1. Building off the introductory paragraph you wrote for WIG 1, write the next paragraph to follow it. You will have two fully written paragraphs. 2. Submit a Word Document that is consistent with AP

Write an introduction paragraph on your proposal (at least 5-6 sentences in length) that broadly introduces your topic to your reader(s) (audience). 2. Do NOT

Write an introduction paragraph on your proposal (at least 5-6 sentences in length) that broadly introduces your topic to your reader(s) (audience). 2. Do NOT include in-text citations from reference

Mathematics – Algebra College Algebra I – MAC1105 Homework

Project 4: Simulation as a Tool for Strategic Decision Making—Part 2

When 22.0 g of calcium metal is reacted with water, 5.00 g of calcium hydroxide is produced. Using the following balanced equation, calculate the percent yield

When 22.0 g of calcium metal is reacted with water, 5.00 g of calcium hydroxide is produced. Using the following balanced equation, calculate the percent yield for the reaction. Ca(s) + 2 H2O(l) → Ca(OH)2(aq) + H2(g)

Task 2: Argumentative Research Paper- Organic foods verses GMOs

Writing a research paper gives you an opportunity to explore a topic of special interest, research that topic, and organize your research findings in writing for an academic audience. Through your preparation work, you have established an argumentative thesis statement and have planned a clear organization of your main

M3A1: Citizens United

http://digital.films.com.vlib.excelsior.edu/p_ViewVideo.aspx?xtid=6976 (copy and paste the link) Review Campaign Finance: Abuses and Reforms. [Video File] [48 min 25 sec] before you participate in this activity. Parts of the video will discuss aspects of campaign finance and reform. Before engaging in this activity, please return to the first discussion topic on political

Analyze how the Republicans and Democrats in the post-war era largely

In a 4-5 page essay, analyze how the Republicans and Democrats in the post-war era largely agreed on Cold War foreign policy but came to different conclusions regarding domestic social policies. How did each party reconcile its foreign and domestic policies, and what does this say about the political ideology

The decision in Williams v Roffey Bros signals that the courts in

The decision in Williams v Roffey Bros signals that the courts in deciding whether or not to enforce a promise, may be guided less by technical questions of consideration than by questions of fairness, reasonableness and commercial utility. The assignment will be in accordance with the following criteria: •

Management and Organizational Behavior.

Description Exercise 17: Read Annual Pay Raises (W-68-69). This is located in the color-coded workbook section in the back of your book. ( Uhl-Bien, M., Osborn, R. N., & Schermerhorn, J. R. (2014).) Organizational Behavior. Hoboken, NJ: Wiley. ISBN:9781118517376 Review the exercise and complete steps 1 and 2. For this

JP Morganchase Bank

Clearly present brief history, purpose, advertisement, competition, audience and location for that one institution. The information provided is supported with ample applicable data/evidence. analyze historical and current policy of the institution in reference to the Great Recession. use fact finder U.S. Census : Zip code Population Income Education Race PowerPoint:

+ 1 (564)544-7639