10. (MATLAB exercise on Barrier Option)

Write a MATLAB program to determine the initial price of Barrier Down and In Call option and Barrier Down and Out Call option using the BSM formula with the following data:

S(0) 5 100; K 5 105; T 5 1; r 5 8%; σ 5 30%; H 5 95 Now plot the initial price of both call and put options by varying the following parameters at a time while keeping the other parameters fixed.

a. S(0)

b. K

c. H