 विस्मिला एरख्मानाई, तो भी स्वाट्टेद बाट कीन तो मैं बेसिक्स बाट कीन ती बिनोमिल मोडल की, के ये अप्षिन की प्राइसिंग में योज होता अपला समने देखाता असके अदर अब वेंच्चर्स में भी योज़ा जासे क्यापिर्टल बाजेटिंग है न र प्र क्रक्तिखल आप्लिके्ीष् supermarket. सकेखान त। शाजतिए के अपन् अनुम्यल आप्षिन प्राइसिंग मुडल की तेी आप लिका, स्वरग, चरंसीस, क्याट़। यह जब यह आप एक आपनी एक बाटझेख में और समत्पण है, आप नविल at the bottom of the two possible change कि किकिकिया लगा थी होसकती है। अं the probabilities of each कि उसकी चान्सिज क्या आई। these are the data which will require to make a binomial model. to make a binomial model critical component of option pricing with the one period is the notion of construction कि ये बनता कैसे है h is the value of hedged portfolio कि हम अपना portfolio हैज करने that means उसको हम तोडा सेवाव्ट करे हो so that is h equal to ns-c n is the hedge ratio s is the underlying price जो भी ये स्वाव्ट के है ये करन्सी है ये बाव्ट है and c is the call price उसके तो हम ये देखना चान है के हज पोट्फोलियो के वेलियो क्या होगी h portfolio will be risk less in that there is a perfect balance between a long position in underlying and a short position in the call we want to make a combination that we don't have to make a loss if its price is coming down so our combination is like this so that is referred to as a hedge so again in one offset by loss in other in both of them the corresponding is like this if our market is falling somewhere then we will benefit from the call so this is the combination of hedge team my nominal model is in one period n is equal to c plus minus c minus when we are talking about c then we are talking about calls and signs refer to the movement up tick or down tick similarly in the spot price we are talking about up movement and down movement so how it works we are going to relate and we are going to apply for example if the strike price is 25 shares and the upside is 30 so c plus is $5 i.e. upside is $5 the upside price s is like we have seen that it is 30 and if s minus goes down then its price will be slowly you can understand that basically we are going to see that what movement can come in underlying and at the same time call movement accordingly upside and downside for the underlying must be converted to 1 plus the price move i.e. in that movement we need to gauge that u is equal to s plus over divide by existing s and d is s minus divide by the spot i.e. we are going to see the change level and main s is the starting price or spot price we are going to see the capturing of up and down look at the illustration consider a stock currently trading at 30 the size of possible price change and probability are given below we have given the data that up the size of up move is 1.15 and the down move is 1 divide by 1.15 that is 0.87 probability of going up is 0.7 and you know the probability rule that it is always sum to 1 so if up movement is 0.7 that means down is 0.285 so these are the probabilities which are given to us because the hedge portfolio is risk free the rate return on hedge portfolio should be equal to risk free rate atleast we should earn a risk free rate because we have locked in the hedge portfolio so we need to earn a risk free rate return and the 1 period model which we have talked about we will extend it in a multi period this can be extended in 2 period, 3 period and we will see the further implication and graphically so main aim is to calculate the value of options thank you