What is Black–Scholes equation

What is Black–Scholes equation? Explain.

E

Expert

Verified

The Black–Scholes equation was derived by using stochastic calculus and resulted into a partial differential equation. It was not likely to endear this to the thousands of students interested in a career in finance. At that time these were classically MBA students, not the mathematicians and physicists which are nowadays determined on Wall Street.

   Related Questions in Financial Management

©TutorsGlobe All rights reserved 2022-2023.