Possibilistic fuzzy net present value model and application

DOI10.1155/2014/865968MaRDI QIDQ1719274zbMATH OpenOpenAlexWikidataFDO

Authors S. S. Appadoo

Publication date 8 February 2019

Published in Mathematical Problems in Engineering (Search for Journal in Brave)

Copyright license Creative Commons Attribution 3.0 Unported

Full work available at URL https://doi.org/10.1155/2014/865968

Mathematics Subject Classification ID

Statistical decision theory and fuzziness (62C86) Applications of statistics to actuarial sciences and financial mathematics (62P05) Management decision making, including multiple objectives (90B50) Fuzzy and other nonstochastic uncertainty mathematical programming (90C70)

Review text

Summary: The cash flow values and the interest rate in the net present value (NPV) model are usually specified by either crisp numbers or random variables. In this paper, we first discuss some of the recent developments in possibility theory and find closed form expressions for fuzzy possibilistic net present value (FNPV). Then, following [\textit{C. Carlsson} and \textit{R. Fullér}, Fuzzy Sets Syst. 122, No. 2, 315--326 (2001; Zbl 1016.94047)], we discuss some of the possibilistic moments related to FNPV model along with an illustrative numerical example. We also give a unified approach to find higher order moments of FNPV by using the moment generating function introduced by \textit{A. Paseka} et al. [Appl. Math. Lett. 24, No. 5, 630--635 (2011; Zbl 1214.03042)].

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Cites work

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(5)

• Which fuzzy ranking method is best for maximizing fuzzy net present value?
• The study of the fuzzy net present value based on structured element
• Fuzzy capital budgeting for projects characterized by step type fuzzy intervals
• Robust net present value
• Application of possibility theory to investment decisions

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