qdpmc.tools.payoffs.cash_or_nothing¶

qdpmc.tools.payoffs.cash_or_nothing(underlying_price, strike, cash_amount)[source]¶

A cash-or-nothing payoff function.

Parameters

underlying_price (numpy.ndarray) – An array of price of the underlying asset.
strike (scalar) – The strike of the option.
cash_amount (scalar) – Amount of cash paid.

Returns

numpy.ndarray – The payoff array.