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Black Scholes Explained - A Mathematical Breakdown

Finance Explained 48,317 1 year ago
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This video breaks down the mathematics behind the Black Scholes options pricing formula. The Pricing of Options and Corporate Liabilities: https://www.cs.princeton.edu/courses/archive/fall09/cos323/papers/black_scholes73.pdf Excel Model https://docs.google.com/spreadsheets/d/13r0C-ruwBv8orA_yEbEiyFDlgrYjRmrS/edit?usp=sharing&ouid=109762342446452973013&rtpof=true&sd=true 3b1b Normal Distribution Video https://www.youtube.com/watch?v=cy8r7WSuT1I Note: Be sure to download the sheet in Excel, as not all formulas will populate in Google Drive.

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