normcdf() not working

Initially I was writing a program to evaluate the Black-Scholes formula from given values but when I attempted to include normcdf function I got an error. Not sure what is causing it.

>

> normcdf(.5)
  Undefined function 'normcdf' for input arguments of type 'double'.

    >> b = normcdf(.7)
    Undefined function 'normcdf' for input arguments of type 'double'.

[Star Strider]

It’s in the Statistics Toolbox. Do you have it?

[the cyclist]

What do you get if you type

which -all normcdf

[dxander]

C:\Program Files\MATLAB\R2014a\toolbox\stats\stats\normcdf.m % Has no license available Thanks for the advice I will download it. Is there a program in base Matlab that does the same?

[dxander]

It works with the new download. 2015b

Answer 1

[Star Strider]

Either you need to get a license for it (contact the person responsible for such things in your orgainsation), or if you just want a quick fix (no confidence bounds), this works:

nrmcdf = @(x,m,s) integral(@(t)exp(-(t-m).^2./(2*s.^2)), -Inf, x )./(s*sqrt(2*pi)); % Variable=‘x’,  Mean=‘m’,  StdDev=‘s’
Q1 = nrmcdf(-1, 0, 1);
Q2 = nrmcdf(+1, 0, 1);
Qd = Q2-Q1;

The ‘Q’ values are for demonstration only, and show the part of the curve between [+1 -1] standard deviations, with mean=0 and std=1.