Explain an example of Brownian motion, where it is used
Explain an example of Brownian motion, where it is used.
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For illustration, Brownian motion is used in the modelling of interest rates through mean-reverting random walks. Higher-dimensional versions of Brownian motion can be used to signify multi-factor random walks, as stock prices in stochastic volatility.
Illustrates the basic operation of a currency futures market.A futures contract is an exchange-traded instrument along with standardized features demonstrating contract size & delivery date. Futures contracts are marked-to-market day by day
What is MCC (marginal cost of capital schedule)? The schedule is always a horizontal line. Elaborate.
Elaborate: Accounts receivable are sometimes not collected. What is the reason that companies extend trade credit when they could insist on cash for all sales?
Calculate a cross-rate matrix for the French franc, Japanese yen, German mark, and the British pound. Use the most current European term quotes to compute the cross-rates so that the triangular matrix result is alike to the portion above the diagonal .The cross-rate formul
How can a financial manager decide whether to accept or to reject proposed capital budgeting projects for a given MCC and IOS?
What is the reason that a company would probably not issue $1 million worth of fresh common stock in January to evade all short-term borrowing during the year?
Illustrates an example of Frechet distribution?
Describe importance of study international financial management?Now we are living in a world where all the major economic functions, that means consumption, production, and investment, are highly globalized. Thus it is essential for financ
What are those factors that common stockholders would consider while deciding how much cash dividends they want from corporation in which they have invested?
Describe the advantages of investing by international mutual funds? The advantages of investing by international mutual funds comprise: (1) save transaction/information costs,
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