Figure 3From: Call option price function in Bernstein polynomial basis with no-arbitrage inequality constraints Call price residuals are computed as \(\pmb{C_{i} - \hat{C}_{i}}\) , where \(\pmb{C_{i}}\) is the mid price of the observed bid and ask quotes and \(\pmb{\hat{C}_{i}}\) denotes the value of the arbitrage-free estimated price. Results are reported for both of the times to maturity of \(\tau= 30~\mbox{days}\) and \(\tau= 80~\mbox{days}\), respectively.Back to article page