Consider the PDE: fx + 0.2fy = 0 with X [0, 1] and Y [0,
Question:
fx + 0.2fy = 0
with X ∈ [0, 1] and Y ∈ [0, 1].
(a) What is the unknown in this equation?
(b) Explain this equation using plain English.
(c) How many functions f (x, y) can you find that will satisfy such an equation?
(d) Now suppose you know the boundary condition:
f(0,Y) = 1
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Related Book For
An Introduction to the Mathematics of Financial Derivatives
ISBN: 978-0123846822
3rd edition
Authors: Ali Hirsa, Salih N. Neftci
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