Is there any way of getting org-mode to display inline LaTeX fragments in
the emacs buffer? E.g. I would like to be able to type:

The size of the hypotenuse is $\sqrt{a^2+b^2}$

and then the buffer immediately shows:

The size of the hypotenuse is √a²+b²

where √a²+b² is a png image rendered via dvipng.

I assume a toggle would switch between either seeing the formula or seeing
the source of the formula, just like for the display of inline images.
Also, pressing a backspace when the cursor is at the end of the formula
should erase the trailing $ sign, and turn off image display of the
formula, just like for [[links][name]].

Has anything like this been implemented?

Thanks!
Dov