FORMULA UMUM MAKEHAM DENGAN MODEL SUKU BUNGA COX - INGERSOLL - ROSS (CIR) UNTUK ANALISIS INVESTASI
The selection of investment is a financial management decision which is very important because beside requiring a large capital investment, the decision contains certain risks which may directly affect the value of a corporate wealth. Investments in the form of a compa...
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| Main Authors: | , |
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| Format: | Theses and Dissertations NonPeerReviewed |
| Published: |
[Yogyakarta] : Universitas Gadjah Mada
2014
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| Subjects: | |
| Online Access: | https://repository.ugm.ac.id/133615/ http://etd.ugm.ac.id/index.php?mod=penelitian_detail&sub=PenelitianDetail&act=view&typ=html&buku_id=74333 |
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| Summary: | The selection of investment is a financial management decision which is very important
because beside requiring a large capital investment, the decision contains certain risks
which may directly affect the value of a corporate wealth. Investments in the form of a
company loan is one of the types of investments which can be taken by companies which
have excess funds which given to the other companies which need funds. In fact, interest
rate and valuation rate are fluctuated in each period. Movements in interest rate which
fluctuated in each period is a stochastic process, so to estimate it need a stochastic interest
rate model. Stochastic interest rate model which used in this study is a model of CoxIngersoll-Ross (CIR). In the next section it is introduced generalized Makeham�s formula
for fluctuating interest rate and constant valuation rate and the generalized Makeham�s
formula for fluctuating interest rate and valuation rate. Generalized Makeham�s formula
is used to calculate the Net Present Value (NPV) which will be used as a tool to help a
company's financial managers in selecting investments which can offer optimal benefit to
the company |
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