Help : IndexError - probably pretty simple

[Steven D. Majewski]

On 18 Oct 2001, JT wrote:

> def CRRBi(ae="a", cp="c", stock=100, strike=100, time=(1.00/12),
> interest=0.6, cc=0.10, vol=1.00, n=10):
> 	"""CRRBi: the Cox-Ross-Rubinstein Binomial Option Pricing Model"""
> 	ov = []

'ov' initialized to the empty list:  len(ov) -> 0
  ... 
  
> 	for i in range(n):
> 		ov[i] = max(0, z * (stock * pow(u, i) * pow(d, n-1) - strike))


default value for n=10: iterate over ov[0] ... ov[9], except len = 0,
so > IndexError: list assignment index out of range

I'm not quite sure exactly what you OUGHT to be doing for this algorithm,
but you might try either initializing ov = [0]*n, (i.e. with n zero's )
or else add values to the list with ov.append. 

-- Steve Majewski