Error: Function definitions are not permitted in this context.

help for error this my code
function y = code1(A,B,C,x0)
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Error: Function definitions are not permitted in this context.
% code1.m
function y = code1(A,B,C,x0)
test = -1;
delta = 0.001;
N = 1000;
t = linspace(0,1,N+1);
h = 1/N;
h2 = h/2;
u = zeros(1,N+1);
x = zeros(1,N+1);
x(1) = x0;
lambda = zeros(1,N+1);
while(test < 0)
oldu = u;
oldx = x;
oldlambda = lambda;
for i = 1:N
k1 = -0.5*x(i)^2 + C*u(i);
k2 = -0.5*(x(i) + h2*k1)^2 + C*0.5*(u(i) + u(i+1));
k3 = -0.5*(x(i) + h2*k2)^2 + C*0.5*(u(i) + u(i+1));
k4 = -0.5*(x(i) + h*k3)^2 + C*u(i+1);
x(i+1) = x(i) + (h/6)*(k1 + 2*k2 + 2*k3 + k4);
end
for i = 1:N
j = N + 2 - i;
k1 = -A + lambda(j)*x(j);
k2 = -A + (lambda(j) - h2*k1)*0.5*(x(j)+x(j-1));
k3 = -A + (lambda(j) - h2*k2)*0.5*(x(j)+x(j-1));
k4 = -A + (lambda(j) - h*k3)*x(j-1);
lambda(j-1) = lambda(j) - (h/6)*(k1 + 2*k2 + 2*k3 + k4);
end
u1 = C*lambda/(2*B);
u = 0.5*(u1 + oldu);
temp1 = delta*sum(abs(u)) - sum(abs(oldu - u));
temp2 = delta*sum(abs(x)) - sum(abs(oldx - x));
temp3 = delta*sum(abs(lambda)) - sum(abs(oldlambda - lambda));
test = min(temp1, min(temp2, temp3));
end
y(1,:) = t;
y(2,:) = x;
y(3,:) = lambda;
y(4,:) = u;

 Accepted Answer

That is not possible in R2015a (thank you for specifying the release you are using), however it is in R2016b and later releases.
See Add Functions to Scripts for details.

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