Application of Monte Carlo Simulation in the Assessment of European Call Options

摘要: In this paper, the pricing of a European call option on underlying asset is performed by using Monte Carlo method, one powerful simulation methods, where price development simulated and value claim computed in terms an expected value. The proposed approach, applied simulation, based Black-Scholes equation which generally defined options dynamic environment. Therefore, main goal study how can be to finance? Although it stated that because being randomness, method has its obvious disadvantages does not yield solutions for all possible stock prices, applying formula, efficient use calculating payoff. Hence, matter we introduce model simulations as tools determine.