** ****Options, Futures, and
Other Derivatives, **

**Errata
in Book:**

**Page
62: **lines 8 and 9. Replace by and by . (This was kindly pointed out by Sebastien Bossu.**)**

**Page
91: **In Business Snapshot 4.1 and on first line of last
paragraph, replace “Table 4.5” with “Table 4.6” (This was kindly pointed out by
Emilio Barone.)

**Page
139:** First lines of Quotes section: Replace “Treasury
note” with “Ultra T-bond” Also replace 123.0390625 by 121.0390625 on last line
of this subsection (This was kindly pointed out by Emilio Barone.)

**Page
167: **Example 7.2, line 9: replace “LIBOR is paid
and 5% is received” with “LIBOR is received and 5% is paid”. (This was kindly
pointed out by Emilio Barone.)

**Page
171: **last two lines: replace USD 156,000 (=1.3% of
12 million) with USD 195,000 (=1.3% of $15 million). (This was kindly pointed
out by Emilio Barone.)

**Page
340: **line 5. Replace “Section 26.15” with “Section
26.16”. (This was kindly pointed out by Emilio Barone.)

**Page
349:** Problem 15.33: second equation: Replace “*KN*(-*d*_{1})-*E*(*V*)*N*(-*d*_{2})” with
Replace “*KN*(-*d*_{2})-*E*(*V*)*N*(-*d*_{1})” (This was kindly pointed
out by Emilio Barone.)

**Page
383: **Example 18.3: line 8:** **Replace 3.22% by
2.22%. (This was kindly pointed out by Emilio Barone.)

**Page
515: **Change equation in the middle of the page from
D*P* = −0.05*f*_{1}−3.88*f*_{2}
to D*P* = 0.05*f*_{1}−3.88*f*_{2}
(i.e. delete minus sign).

**Page
549:** line before last equation: replace 0.01441 by
0.01345. (This was kindly pointed out by Emilio Barone.)

**Page
560: **In first paragraph Problem 24.29 should be
Problem 24.31 and Problem 24.30 should be Problem 24.32. (This was kindly
pointed out by Emilio Barone.)

**Page
630: **First line after equations: Replace *F* = *K*
by *F*_{0 }= *K*. Also problem reference at the end of
the next paragraph should be Problem 27.23 not
Problem 27.24. (This was kindly pointed out by Emilio Barone.)

**Page
631: **Five lines form end: “all or nothing” should
be “cash or nothing” (This was kindly pointed out by Emilio Barone.)

**Page
649:** First equation. Replace *VT* by. (This was kindly pointed out by Emilio Barone.)

**Page
661:** Two lines after equation (28.24): Replace “current
swap rate” by “current forward swap rate” (This was kindly pointed out by
Emilio Barone.)

**Page
680:** line after third equation: Reference to Chapter 27
should be to Chapter 28. (This was kindly pointed out by Emilio Barone.)

**Page
684:** Subsection Negative Rate, third line: Replace *R _{K}* by

**Page
688:** Problem 29.22: Delete “with LIBOR discounting” on
second line (This was kindly pointed out by Emilio Barone.)

**Page
692:** Example 30.1, line 6: Replace 1/1.04^{3} by
1/1.04^{10}. Also in last paragraph and last equation 9.8710 should be
9.8910. (This was kindly pointed out by Emilio Barone.)

**Page
708:** Last paragraph before Bond Price Process
subsection: reference to Table 4.6 should be to Table 4.7. (This was kindly
pointed out by Emilio Barone.)

**Page
710:** footnote 5: reference to Problem 31.16 should be to
Problem 31.17. (This was kindly pointed out by Emilio Barone.)

**Page
734:** Delete references to Tables 29.1 and 29.2 in last
paragraph of Section 32.6 and in footnote 16. Also reference to Section 29.5 in
first line of Section 32.7 should be to Section Section
29.4. (This was kindly pointed out by Emilio Barone.)

**Page
842: **In the Application Builder subsection replace
DG 300 by DG400 in three places (lines 1-3) and Section 26.16 by 26.17 in one
place (3 lines from end)** **(This was kindly pointed out by Emilio Barone.)

**Errata
in Solutions Manual**

**Page
23: **Problem 4.3. In first equation, last term on the
left hand side should be and in the second equation the second term on the left hand
side should be .

**Page
35: **Problem 5.13.** **The June settlement price is
0.94015, not 0.94105. As a result 0.23% should be changed to 0.32% in two places
and 0.92% should be changed to 1.29%. (This was kindly pointed out by Emilio
Barone.)

**Page
44: **line 5: 5*e*^{-0.1370×0.1165}
should be 6.5*e*^{-0.01370×0.1165}
(This was kindly pointed out by Nicolas Mougeot.)

**Page
247:** Problem 31.4. In the expression for A(0,5), should be . (This was kindly pointed out by Emilio Barone.)

**Page
254:** Problem 32.8. First line after first equation.
Replace (31.16) and (31.17) with (32.7) and (32.8). (This was kindly pointed
out by Emilio Barone.)

**Page
257: **Problem 32.15. First line. Replace equation
(32.15) with equation (32.6). (This was kindly pointed out by Emilio Barone.)