3 September 2021 12:04:53.734 PM black_scholes_test(): FORTRAN90 version Test black_scholes(). asset_path_test(): asset_path() demonstrates the simulated of an asset price path. The asset price at time 0 S0 = 2.00000 The asset expected growth rate MU = 0.100000 The asset volatility SIGMA = 0.300000 The expiry date T1 = 1.00000 The number of time steps N = 100 Partial results: 1: 2.00000 2: 1.95493 3: 2.01918 4: 2.00323 5: 1.99668 6: 1.89867 7: 1.88769 8: 1.86686 ........ .............. 101: 1.50418 Created graphics data file "asset_path_data.txt". Created command file "asset_path_commands.txt". binomial_test(): binomial() demonstrates the binomial method for option valuation. The asset price at time 0 S0 = 2.00000 The exercise price E = 1.00000 The interest rate R = 0.500000E-01 The asset volatility SIGMA = 0.250000 The expiry date T1 = 3.00000 The number of intervals M = 256 The option value is 1.14476 bsf_test(): bsf() demonstrates the Black-Scholes formula for option valuation. The asset price at time T0 S0 = 2.00000 The time T0 = 0.00000 The exercise price E = 1.00000 The interest rate R = 0.500000E-01 The asset volatility SIGMA = 0.250000 The expiry date T1 = 3.00000 The option value C = 1.14474 forward_test(): forward() demonstrates the forward difference method for option valuation. The exercise price E = 4.00000 The interest rate R = 0.300000E-01 The asset volatility SIGMA = 0.500000 The expiry date T1 = 1.00000 The number of space steps NX = 11 The number of time steps NT = 29 The value of SMAX = 10.0000 Initial Option Value Value 1.00000 0.139363E-02 2.00000 0.373367E-01 3.00000 0.223638 4.00000 0.627210 5.00000 1.20992 6.00000 1.91439 7.00000 2.69543 8.00000 3.52261 9.00000 4.37638 10.0000 5.24428 mc_test(): mc() demonstrates the Monte Carlo method for option valuation. The asset price at time 0, S0 = 2.00000 The exercise price E = 1.00000 The interest rate R = 0.500000E-01 The asset volatility SIGMA = 0.250000 The expiry date T1 = 3.00000 The number of simulations M = 1000000 The confidence interval is [ 1.14174 , 1.14527 ]. black_scholes_test(): Normal end of execution. 3 September 2021 12:04:53.813 PM