Baylor Student Develops New Mathematical ConceptMay 28, 2009
A spark of curiosity and encouragement from a professor led a Baylor University student to transform the mathematical world by identifying a new mathematical concept benefiting the study of finance.
Myles Baker, a Baylor sophomore, became fascinated by his calculus class taught by Dr. Qin Sheng. Baker then happened upon an undergraduate paper by Brian Jain, a senior biology major, that uses Taylor's Theorem, a practice apart of Calculus II. Baker continued his research to develop a theory for solving the Black-Schole's equation in finance. He discussed his findings with Sheng, who agreed to serve as Baker's project advisor and mentor.
The Black-Scholes equation is used to evaluate option pricing in the field of financial mathematics. Baker's developments can make an educated guess on how the market will act according to certain principles.
This spring, Baker spoke at the Texas Oklahoma Regional Undergraduate Symposium (TORUS), which was held at Abilene Christian University, and at the Mathematical Association of America (MAA) Texas Regional Meeting in Denton.