Assignment

Financial Econometrics Matlab Crash Course October 3, 2011

Matlab

Homework Assignment 6 Name: G. Weisang

Instructions A few recommendations for you: 1. When you do not know something (for example what annuity and how they are calculated) search first on www.wikipedia.org, then ask to your colleagues and just finally ask to me. When you will program, most likely me and your colleagues won’t be around to help you. 2. When you do not know how to use a function before asking write help nameofthefunction (for example help mean) in the command window, read carefully the instructions, and try to understand the basic features of the function and how to adapt it to your problem. You can also use the doc command to open the help file in a browser rather than in the output window. 3. When you get an error do not get panicked, read what Matlab is telling you: usually it will try to help you. If you do not understand immediately the mistake try to decompose your expression into simple smaller parts. 4. Learning how to program is a trial-and-error process do not get frustrated, it takes time to write a code. And a few comments and instructions about the problem: 5. This Matlab exercise will be graded and will count in the evaluation for this course. 6. This exercise builds up on the first two sets of ungraded Matlab problems now posted with their solutions on CICADA. Do not hesitate to go back and do some of these exercises again. Even when an exercise looks trivial, it is worth trying. You may discover it is not as trivial as it seems. 7. Do not waste paper. Please print only the output relevant to the question. 8. Do not hesitate to provide comments on your code, especially when writing a function. It helps other users understand what you mean to do with your code. It may even help you later when you go back to it.

Function Annuity

1. Read the Matlab notes in the additional resources section of CICADA, section 21 (pages 23-24) about function M-files. Carefully examine...