The website now has a simple option pricing tool available free of charge. The option pricer can be found on the following hyperlink:
Users will be able to change the basic parameters of the option to see how its value will change. The tool also has a graphical representation of the option’s value both prior to and at maturity. There is also a seperate graph which shows the related option Greeks.
We have also designed a complementary exercise that can be downloaded by clicking here. The exercise is based on the principles of self-guidance and allows users to see how the option’s value changes as different market parameters change.