STOCKOFF8

Option Calculation

This calculation method improves liquidity of government securities by exchanging them for other securities. It considers both the original cost of the security and its current value, which can be assumed to match.

As a premise of this calculation, securities are considered as accumulated assets, while many government securities are regarded as amortized assets. To reconcile both characteristics, options become an indispensable tool. Enter B: Enter O: Enter T: Enter K:

User Inputs B, O, T, K

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Calculate S = B - O * T

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Calculate S2 = O / (0.95 * K - 1)

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Display Results S and S2