I'd like to calculate Black-Scholes using Google Sheets based on this formula: https://www.erieri.com/blackscholes.
Here are the parameters I'm using in the form:
Stock price = 60.89
Option strike price = 40
Maturity = .27
Risk-free rate = .02
Volatility = .59
European Put result is 0.5631.
The Black-Scholes formula can be found on the same page below the form in the definitions section.
Here's the formula I'm using in Google Sheets:
d1 = ((ln(60.89/40)+((0.02*0.5*0.59^2)*0.27))/(0.59*SQRT(0.27))) = 1.3766 d2 = d1-0.59*SQRT(0.27) = 1.06709 C = 60.89*NORMDIST(d1)-40*2.718^(0.02*0.27)*NORMDIST(d2) = error
Here's the error details:
Wrong number of arguments to NORMDIST. Expected 4 arguments, but got 1 arguments.
How should NORMDIST be used?