function WCBP(P0,KA,KB,A,B) %Example: WCBP(62.22,60.00,65,4.00,2.09) BreakEvenA=(KA+A) BreakEvenB=(KB-B) fA=0; fB=0; fU=0; for x=1:(2*P0+1) if (x-1)<=KA fA(x)=A; else fA(x)=(KA+A)-(x-1); end if (x-1)<=KB fB(x)=(KB-B)-(x-1); else fB(x)=-B; end fU(x)=-P0+(x-1); f(x)=fA(x)+fB(x)+fU(x); end TimeValue=abs(abs(P0-KA)-A) IntrinsicValue=abs(P0-KA) RA=TimeValue/IntrinsicValue Rise=(-B-A); Run=(KB-KA); m=Rise/Run; BreakEvenMulti=-(A-m*KA)/m PercentageChangeNeededInP=((BreakEvenMulti-P0)/P0)*100 figure 1; plot(0:(2*P0),fA,'b') grid on axis([-1 (2*P0) -(B+4) (A+4)]) xlabel('Price of Underlying') ylabel('P/L') hold on plot(0:(2*P0),fB,'r') plot(0:(2*P0),fU,'k.') plot(BreakEvenA,0,'bo') plot(BreakEvenB,0,'ro') figure 2; plot(0:(2*P0),f) grid on axis([-1 (2*P0) -(1.5*(B+1)) (1.5*(A+1))]) hold on clear all