This paper investigates a mixed bundling problem in the wireless telecommunication business. Customers can buy cellular phones at a discount price if they subscribe to a service plan with the price above a threshold. We have proposed using nonlinear mixed-integer programming to determine the...

A nonlinear Black-Scholes equation which models transaction costs arising in the hedging of portfolios is discretized semi-implicitly using high order compact finite difference schemes. In particular, the compact schemes of Rigal are generalized. The numerical results are compared to standard...