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Math Help - [SOLVED] Please check what i did wrong

  1. #1
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    [SOLVED] Please check what i did wrong

    Hi, can someone please check what i did wrong..
    So I know that
     V(x) = M''(0)-(M'(0))^2
    My M(t)=e^{\mu t + \frac{\sigma^2 t^2}{2}}
    M'(t) = \mu e^{\mu t} + e^{\sigma^2 t}
    M'(0) = \mu
    M''(t) = \mu^2 e^{\mu t} + e^{\mu t} + \sigma^2 e^{\sigma^2 t}
     M''(0) = \mu^2 + 1 + \sigma^2

    Then
     V(x) = \mu^2 + 1 + \sigma^2 - \mu^2
    V(x) = 1 + \sigma^2

    But the answer is supposed to be  V(x) = \sigma^2

    Can someone please check what i did wrong
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  2. #2
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    Don't worry, I know what i did wrong lol
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  3. #3
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    I found

     <br />
M'(t) = (\mu+\sigma^2 t) e^{\mu t +\frac{\sigma^2 t^2}{2}} \neq \mu e^{\mu t} + e^{\sigma^2 t}<br />
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  4. #4
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    Quote Originally Posted by pickslides View Post
    I found

     <br />
M'(t) = (\mu+\sigma^2 t) e^{\mu t +\frac{\sigma^2 t^2}{2}} \neq \mu e^{\mu t} + e^{\sigma^2 t}<br />
    haha thanks, i know, i just realised that right after i posted it
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