# Calculation of Expection

Z ~ N (0,1), other variables, except those dependent on Z are constants. The problem is to find expectation of C. Please, express expectation in terms of constant and show how you do that.

S0=50;

K=52

r=0.05

sigma=0.5

T=30

https://brainmass.com/statistics/hypothesis-testing/calculation-expection-25962

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Z ~ N (0,1), other variables, except those dependent on Z are constants. The problem is to find expectation of C. I tried several times and got 0 all the time. But I need to show that the answer is in fact 2.05. Please, help. The reason I got answer very close to 0 is that I integrate from K to infinity, which makes ...

#### Solution Summary

Z ~ N (0,1), other variables, except those dependent on Z are constants. The problem is to find expectation of C.

Please, express expectation in terms of constant and show how you do that.

S0=50;

K=52

r=0.05

sigma=0.5

T=30