Nigel J. Cutland

Provides a complete and rigorous treatment of no-arbitrage pricing for both European and American derivatives in complete and incomplete discrete markets Requires only elementary linear algebra and probability theory, hence accessible to students of quantitative subjects (such as economics or physics) as well as students of mathematics Provides a foundation for understanding the more advanced theory of continuous-time models Contains copious fully worked out examples and numerous class-tested exercises (many with solutions) Includes supplementary material: sn.pub/extras Request lecturer material: sn.pub/lecturer-material