Abstract
In this chapter we first consider the elementary concepts, in the mathematics of finance, future value, present value and regular annuities. In all cases the cash amounts, interest rates and number of compoundings may all be fuzzy. Then we look at two methods of comparing fuzzy net cash flows in order to rank fuzzy investment alternatives from best to worst. For other discussions of the mathematics of finance we refer the reader to ([1], [2], [10], [11], [14] – [25]). This chapter is based on ([5],[6],[7],[8]), and we will be using both triangular and trapezoidal (shaped) fuzzy numbers.
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Buckley, J.J., Eslami, E., Feuring, T. (2002). Fuzzy Mathematics in Finance. In: Fuzzy Mathematics in Economics and Engineering. Studies in Fuzziness and Soft Computing, vol 91. Physica, Heidelberg. https://doi.org/10.1007/978-3-7908-1795-9_4
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DOI: https://doi.org/10.1007/978-3-7908-1795-9_4
Publisher Name: Physica, Heidelberg
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Online ISBN: 978-3-7908-1795-9
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