Fundamentals of Futures and Options Markets, Sixth Edition

The following typos and other errors are in the first printing of the book and the Solutions Manual. We have tried to correct them in subsequent printings and so they may not be present in the copy you have.

Errata in Book

Page 37: Box containing Example 2.1: On line 3 change   “…year end, is 280 cents..”  to “…year end, is 270 cents…” (This was kindly pointed out by Ernestina Ramos.)

Page 55: Example 3.4, second to last line: “Spot price on Nov. 10 + Gain on Futures” should be ““Spot price on Nov. 10 − Gain on Futures” (This was kindly pointed out by Cheng-kun Kuo.)

Page 60: The words “futures” and “spot” should be switched on the first line. (This was kindly pointed out by Taekyou Kim.)

Page 60: In first equation change 83,550 to 83,580 and 3.22 to 3.12. (This was kindly pointed out by Jean Wills)

Page 149: Last line: Change “Problem 6.18” to “Problem 6.17”. (This was kindly pointed out by Ernestina Ramos.)

Page 165: In Example 7.2, in left hand side of equation, replace …102.5e2R  by …102.5e-2R.

Page 286: In Example 12.7 replace \$8.12 on the second to last line by \$6.31. The last sentence should be “The income statement expense is therefore 1,000,000 ×6.31 or \$6,310,000. (This was kindly pointed out by Surendranath Jory.)

Page 299: line 17 should read “If the exchange rate is greater than K2, the call option is…” (This was kindly pointed out by Tara Immell.)

Page 330: In Example 15.2, in the expression for d1, 0.22 should be replaced by 0.22/2. (This was kindly pointed out by Tara Immell.)

Page 346: In Table 15.6 the rho for a put option should be –KTe-rTN(-d2) not    KTe-rTN(-d2)  (This was kindly pointed out by Han-Hsing Lee.)

Page 460: Problem 20.25: line 4: change “receives” to “gains” and line 10 change “M = 20 euros” to “M =70 euros”

Errata in Solutions Manual

Page 39: In the statement of the question four lines from the end of the page change 6.18 to 6.17. (This was kindly pointed out by Ernestina Ramos.)