Possibilistic Fuzzy Net Present Value Model and Application

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Date
2014-8-4
Authors
Appadoo, S. S.
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Abstract

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 Carlsson and Fullér (2001), 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 Paseka et al. (2011).

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S. S. Appadoo, “Possibilistic Fuzzy Net Present Value Model and Application,” Mathematical Problems in Engineering, vol. 2014, Article ID 865968, 11 pages, 2014. doi:10.1155/2014/865968