My entire current function for my Black Scholes Calling Price Model is
Function BlackScholesCallOption(Stock As Double, Exercise As Double, Time As Double, Interest As Double, Sigma As Double)
Dim a As Single
Dim b As Single
Dim c As Single
Dim d1 As Single
Dim d2 As Single
a = Log(Stock / Exercise)
b = (Interest + 0.5 * Sigma ^ 2) * Time
c = Sigma * (Time ^ 0.5)
d1 = (a + b) / c
d2 = d1 - Sigma * (Time ^ 0.5)
BlackScholesCallOption = Stock * NormSDist(d1) - (Exercise * Exp(-Interest * Time)) * NormSDist(d2)
End Function
The only problem is that my NormSDist functions that i use in the second last line is not defined. I need help defining it so that it pulls from the excel function normsdist().
Thanks in Advance.
Bookmarks