Black-Scholes Visualization
Remixed 1 times
Created by Mauro Usuga with Mathify.dev
The animation visually explains the Black-Scholes model for pricing call options, featuring a two-panel diagram where the left side illustrates stylized stock price paths, and the right side shows the call option payoff structure. Additionally, it transitions through the stochastic differential equation (SDE), the Black-Scholes partial differential equation (PDE), and concludes with the closed-form call price formula, summarizing the key concepts.