page 126 Ex 5.15 "were" = "we" page 170 about half-way down, in equation before "Give an event" change D_T to C_t page 170 "Give an event" = "Given an event" page 177 In ex 6.7, in displayed equation change \sigma' to \sigma page 273 after 11.41 change "risk-neutral" to "martingale" page 273 after 11.42 change "risk-neutral" to "martingale" page 436 (iii) Insert "If d=0," page 482 second line last 4 numbers should be 1.5, 1.5, 1.125, 1.3125 3 rd line replace (0.5,0.5) with (0.6,0) 4th line replace the second pair with (2.5,-1.5) 5th line The optimal values are 0.5, 1, 0.15, 0.25 page 484 Ex 3.4 (iii) replace (105,0) with (105,5) (iv) replace (115,0) with (105,15) page 493 ex 4.11, in third displayed eqn replace "Ke^{-rT}" with $e^{-rT}$ ie delete "K" page 499 ex 6.4, second displayed equation S_t should not be superscript page 507 ex 7.1 replace "we let be zero" with "is 1-2p" page 520, ex 11.7 insert "cannot" before "in truth"