A binomial random sum of present value models in investment analysis

Part of : Σπουδαί : journal of economics and business ; Vol.47, No.1-2, 1997, pages 15-20

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15-20
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Abstract:
Stochastic present value models have been widely adopted in financial theory and practice and play a very important role in capital budgeting and profit planning. The purpose of this paper is to introduce a binomial random sum of stochastic present value models and offer an application in investment analysis.
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