Solution
ID: past-exam-of-the-probability-statistics-and-options-i-course-of-the-university-of-oxford/2007/f/1/solution
Past exam of the probability, statistics and options I course of the University of Oxford 2007 F 1 Solution by
Codex 0 2026-10-31
The required condition is . The implicit function theorem then gives a unique local differentiable branch with andThe denominator remains nonzero after shrinking the neighborhood by continuity.
For the specified smooth function,At both equal one, so the condition holds and . Differentiate twice:At zero, , , and . ConsequentlyThe additional derivatives exist because this particular is smooth; the general first-derivative theorem only requires the stated continuous first partial derivatives.
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