The write-in-full templates for Note 3's exam questions: the Monte Carlo pricing algorithm with its error report, scheme selection for path simulation, correlated draws, RNG quality discussion, the compressed Longstaff–Schwartz recipe, the Heston calibration workflow, and the structure of a Fourier-pricing answer. Each template flags the statements that carry marks — usually the convergence orders, the bias/variance distinction, and the reasons behind method choices.
In this lesson
- 8.1 Template: European call by Monte Carlo (GBM)
- 8.2 Template: path simulation scheme choice
- 8.3 Template: correlated two-asset / Heston draw
- 8.4 Template: quality-of-RNG discussion
- 8.5 Template: Longstaff–Schwartz (compressed)
- 8.6 Template: Heston calibration workflow
- 8.7 Template: Fourier pricing question
- 8.8 Quick-recall facts
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