The Application of Real Options to Capital Budgeting

Real options theory suggests that managerial flexibility embedded within irreversible investments can account for a significant value in project valuation. Although the argument has become the dominant focus of capital investment theory over decades, yet recent survey literature in capital budgeting indicates that corporate practitioners still do not explicitly apply real options in investment decisions. In this paper, we explore how real options decision criteria can be transformed into equivalent capital budgeting criteria under the consideration of uncertainty, assuming that underlying stochastic process follows a geometric Brownian motion (GBM), a mixed diffusion-jump (MX), or a mean-reverting process (MR). These equivalent valuation techniques can be readily decomposed into conventional investment rules and “option impacts", the latter of which describe the impacts on optimal investment rules with the option value considered. Based on numerical analysis and Monte Carlo simulation, three major findings are derived. First, it is shown that real options could be successfully integrated into the mindset of conventional capital budgeting. Second, the inclusion of option impacts tends to delay investment. It is indicated that the delay effect is the most significant under a GBM process and the least significant under a MR process. Third, it is optimal to adopt the new capital budgeting criteria in investment decision-making and adopting a suboptimal investment rule without considering real options could lead to a substantial loss in value.

Hydrodynamic Characteristics of Weis–Fogh Type Ship-s Propulsion Mechanism Having Elastic Wing

This experiment was conducted in attempt of improving hydrodynamic efficiency of the propulsion mechanism by installing a spring to the wing so that the opening angle of the wing in one stroke can be changed automatically, compared to the existing method of fixed maximum opening angle in Weis-Fogh type ship propulsion mechanism. Average thrust coefficient was almost fixed with all velocity ratio with the prototype, but with the spring type, thrust coefficient increased sharply as velocity ratio increased. Average propulsive efficiency was larger with bigger opening angle in the prototype, but in the spring type, the one with smaller spring coefficient had larger value. In the range over 1.0 in velocity ratio where big thrust can be generated, spring type had more than twice of propulsive efficiency increase compared to the prototype.

The Investigation of Motor Cooling Performance

This study experimentally and numerically investigates motor cooling performance. The motor consists of a centrifugal fan, two axial fans, a shaft, a stator, a rotor and a heat exchanger with 637 cooling tubes. The pressure rise-flow rate (P-Q) performance curves of the cooling fans at 1800 rpm are tested using a test apparatus complying with the Chinese National Standard (CNS) 2726. Compared with the experimental measurements, the numerical analysis results show that the P-Q performance curves of the axial fan and centrifugal fan can be estimated within about 2% and 6%, respectively. By using the simplified model, setting up the heat exchanger and stator as porous media, the flow field in the motor is calculated. By using the results of the flow field near the rotor and stator, and subjecting the heat generation rate as a boundary condition, the temperature distributions of the stator and rotor are also calculated. The simulation results show that the calculated temperature of the stator winding near the axial fans is lower by about 5% than the measured value, and the calculated temperature of the stator core located at the center of the stator is about 1% higher than the measured value. Besides, discussion is made to improve the motor cooling performance.

Ventilation Efficiency in the Subway Environment for the Indoor Air Quality

Clean air in subway station is important to passengers. The Platform Screen Doors (PSDs) can improve indoor air quality in the subway station; however the air quality in the subway tunnel is degraded. The subway tunnel has high CO2 concentration and indoor particulate matter (PM) value. The Indoor Air Quality (IAQ) level in subway environment degrades by increasing the frequency of the train operation and the number of the train. The ventilation systems of the subway tunnel need improvements to have better air-quality. Numerical analyses might be effective tools to analyze the performance of subway twin-track tunnel ventilation systems. An existing subway twin-track tunnel in the metropolitan Seoul subway system is chosen for the numerical simulations. The ANSYS CFX software is used for unsteady computations of the airflow inside the twin-track tunnel when the train moves. The airflow inside the tunnel is simulated when one train runs and two trains run at the same time in the tunnel. The piston-effect inside the tunnel is analyzed when all shafts function as the natural ventilation shaft. The supplied air through the shafts is mixed with the pollutant air in the tunnel. The pollutant air is exhausted by the mechanical ventilation shafts. The supplied and discharged airs are balanced when only one train runs in the twin-track tunnel. The pollutant air in the tunnel is high when two trains run simultaneously in opposite direction and all shafts functioned as the natural shaft cases when there are no electrical power supplies in the shafts. The remained pollutant air inside the tunnel enters into the station platform when the doors are opened.

Distinguishing Innocent Murmurs from Murmurs caused by Aortic Stenosis by Recurrence Quantification Analysis

It is sometimes difficult to differentiate between innocent murmurs and pathological murmurs during auscultation. In these difficult cases, an intelligent stethoscope with decision support abilities would be of great value. In this study, using a dog model, phonocardiographic recordings were obtained from 27 boxer dogs with various degrees of aortic stenosis (AS) severity. As a reference for severity assessment, continuous wave Doppler was used. The data were analyzed with recurrence quantification analysis (RQA) with the aim to find features able to distinguish innocent murmurs from murmurs caused by AS. Four out of eight investigated RQA features showed significant differences between innocent murmurs and pathological murmurs. Using a plain linear discriminant analysis classifier, the best pair of features (recurrence rate and entropy) resulted in a sensitivity of 90% and a specificity of 88%. In conclusion, RQA provide valid features which can be used for differentiation between innocent murmurs and murmurs caused by AS.

Flexural Strength and Ductility Improvement of NSC beams

In order to calculate the flexural strength of normal-strength concrete (NSC) beams, the nonlinear actual concrete stress distribution within the compression zone is normally replaced by an equivalent rectangular stress block, with two coefficients of α and β to regulate the intensity and depth of the equivalent stress respectively. For NSC beams design, α and β are usually assumed constant as 0.85 and 0.80 in reinforced concrete (RC) codes. From an earlier investigation of the authors, α is not a constant but significantly affected by flexural strain gradient, and increases with the increasing of strain gradient till a maximum value. It indicates that larger concrete stress can be developed in flexure than that stipulated by design codes. As an extension and application of the authors- previous study, the modified equivalent concrete stress block is used here to produce a series of design charts showing the maximum design limits of flexural strength and ductility of singly- and doubly- NSC beams, through which both strength and ductility design limits are improved by taking into account strain gradient effect.

Acceptance of Mobile Learning: a Respecification and Validation of Information System Success

With the proliferation of mobile computing technology, mobile learning (m-learning) will play a vital role in the rapidly growing electronic learning market. However, the acceptance of m-learning by individuals is critical to the successful implementation of m-learning systems. Thus, there is a need to research the factors that affect users- intention to use m-learning. Based on an updated information system (IS) success model, data collected from 350 respondents in Taiwan were tested against the research model using the structural equation modeling approach. The data collected by questionnaire were analyzed to check the validity of constructs. Then hypotheses describing the relationships between the identified constructs and users- satisfaction were formulated and tested.

The Utility of Wavelet Transform in Surface Electromyography Feature Extraction -A Comparative Study of Different Mother Wavelets

Electromyography (EMG) signal processing has been investigated remarkably regarding various applications such as in rehabilitation systems. Specifically, wavelet transform has served as a powerful technique to scrutinize EMG signals since wavelet transform is consistent with the nature of EMG as a non-stationary signal. In this paper, the efficiency of wavelet transform in surface EMG feature extraction is investigated from four levels of wavelet decomposition and a comparative study between different mother wavelets had been done. To recognize the best function and level of wavelet analysis, two evaluation criteria, scatter plot and RES index are recruited. Hereupon, four wavelet families, namely, Daubechies, Coiflets, Symlets and Biorthogonal are studied in wavelet decomposition stage. Consequently, the results show that only features from first and second level of wavelet decomposition yields good performance and some functions of various wavelet families can lead to an improvement in separability class of different hand movements.

An Analysis of Real-Time Distributed System under Different Priority Policies

A real time distributed computing has heterogeneously networked computers to solve a single problem. So coordination of activities among computers is a complex task and deadlines make more complex. The performances depend on many factors such as traffic workloads, database system architecture, underlying processors, disks speeds, etc. Simulation study have been performed to analyze the performance under different transaction scheduling: different workloads, arrival rate, priority policies, altering slack factors and Preemptive Policy. The performance metric of the experiments is missed percent that is the percentage of transaction that the system is unable to complete. The throughput of the system is depends on the arrival rate of transaction. The performance can be enhanced with altering the slack factor value. Working on slack value for the transaction can helps to avoid some of transactions from killing or aborts. Under the Preemptive Policy, many extra executions of new transactions can be carried out.

Metal Streak Analysis with different Acquisition Settings in Postoperative Spine Imaging: A Phantom Study

CT assessment of postoperative spine is challenging in the presence of metal streak artifacts that could deteriorate the quality of CT images. In this paper, we studied the influence of different acquisition parameters on the magnitude of metal streaking. A water-bath phantom was constructed with metal insertion similar with postoperative spine assessment. The phantom was scanned with different acquisition settings and acquired data were reconstructed using various reconstruction settings. Standardized ROIs were defined within streaking region for image analysis. The result shows increased kVp and mAs enhanced SNR values by reducing image noise. Sharper kernel enhanced image quality compared to smooth kernel, but produced more noise in the images with higher CT fluctuation. The noise between both kernels were significantly different (P

Influence of Fibre Content on Crack Propagation Rate in Fibre-Reinforced Concrete Beams

Experimental study on the influence of fibre content on crack behaviour and propagation in synthetic-fibre reinforced beams has been reported in this paper. The tensile behaviour of metallic fibre concrete is evaluated in terms of residual flexural tensile strength values determined from the load-crack mouth opening displacement curve or load-deflection curve obtained by applying a centre-point load on a simply supported notched prism. The results achieved demonstrate that an increase in fibre content has an almost negligible effect on compressive and tensile splitting properties, causes a marginal increment in flexural tensile strength and increasesthe Re3 value.

Edge Detection in Digital Images Using Fuzzy Logic Technique

The fuzzy technique is an operator introduced in order to simulate at a mathematical level the compensatory behavior in process of decision making or subjective evaluation. The following paper introduces such operators on hand of computer vision application. In this paper a novel method based on fuzzy logic reasoning strategy is proposed for edge detection in digital images without determining the threshold value. The proposed approach begins by segmenting the images into regions using floating 3x3 binary matrix. The edge pixels are mapped to a range of values distinct from each other. The robustness of the proposed method results for different captured images are compared to those obtained with the linear Sobel operator. It is gave a permanent effect in the lines smoothness and straightness for the straight lines and good roundness for the curved lines. In the same time the corners get sharper and can be defined easily.

Knowledge Management Model for Managing Knowledge among Related Organizations

Transferring information developed by other peoples is an ordinary event that happens during daily conversations, for example when employees sea each other in the organization, or when they are having lunch together, or attending a meeting, they use to talk about their experience, and discuss about their current projects, and talk about their successes over some specific problems. Despite the potential value of leveraging organizational memory and expertise by using OMS and ER, still small organizations haven-t been able to capitalize on its promised value. Each organization has its internal knowledge management system, in some of organizations the system face the lack of expert people to save their experience in the repository and in another hand on some other organizations there are lots of expert people but the organization doesn-t have the maximum use of their knowledge.

Influence of Jerusalem Artichoke Powder on the Nutritional Value of Pastry Products

From year to year, the incidence of different diseases is increasing in humans, and the cause is inadequate intake of dietary fibre, vitamins, and minerals. One of the possibilities to take care of your health preventively is including in the diet products with increased dietary fibre, vitamin, and mineral content.Jerusalem artichoke powder (JAP) made from Jerusalem artichoke (Helianthus tuberosus L) roots is a valuable product. By adding it to pastry goods, we can obtain a fibre-rich food that could be healthier and an excellent alternative to the classical pastry products of this kind.Experiments were carried out at the Faculty of Food Technology of Latvia University of Agriculture (LLU). Results of experiments showed that addition of Jerusalem artichoke powder has significant impact on all the studied pastry products nutritional value (p

Usage-based Traffic Control for P2P Content Delivery

Recently, content delivery services have grown rapidly over the Internet. For ASPs (Application Service Provider) providing content delivery services, P2P architecture is beneficial to reduce outgoing traffic from content servers. On the other hand, ISPs are suffering from the increase in P2P traffic. The P2P traffic is unnecessarily redundant because the same content or the same fractions of content are transferred through an inter-ISP link several times. Subscriber ISPs have to pay a transit fee to upstream ISPs based on the volume of inter-ISP traffic. In order to solve such problems, several works have been done for the purpose of P2P traffic reduction. However, these existing works cannot control the traffic volume of a certain link. In order to solve such an ISP-s operational requirement, we propose a method to control traffic volume for a link within a preconfigured upper bound value. We evaluated that the proposed method works well by conducting a simulation on a 1,000-user scale. We confirm that the traffic volume could be controlled at a lower level than the upper bound for all evaluated conditions. Moreover, our method could control the traffic volume at 98.95% link usage against the target value.

Piezoelectric Polarization Effect on Debye Frequency and Temperature in Nitride Wurtzites

We have investigated the effect of piezoelectric (PZ) polarization property in binary as well as in ternary wurtzite nitrides. It is found that with the presence of PZ polarization property, the phonon group velocity is modified. The change in phonon group velocity due to PZ polarization effect directly depends on piezoelectric tensor value. Using different piezoelectric tensor values recommended by different workers in the literature, percent change in group velocities of phonons has been estimated. The Debye temperatures and frequencies of binary nitrides GaN, AlN and InN are also calculated using the modified group velocities. For ternary nitrides AlxGa(1-x)N, InxGa(1-x)N and InxAl(1-x)N, the phonon group velocities have been calculated as a functions of composition. A small positive bowing is observed in phonon group velocities of ternary alloys. Percent variations in phonon group velocities are also calculated for a straightforward comparison among ternary nitrides. The results are expected to show a change in phonon relaxation rates and thermal conductivity of III-nitrides when piezoelectric polarization property is taken into consideration.

Effect of Heat Input on the Weld Metal Toughness of Chromium-Molybdenum Steel

An attempt has been made to determine the strength and impact properties of Cr-Mo steel weld and base materials by varying the current during manual metal arc welding. Toughness over a temperature range from -32 to 100°C of base, heat affected zone (HAZ) and weld zones at three current settings are made. It is observed that the deterioration in notch toughness at any zone with the temperature decreases. The values of notch toughness for all zones at -32°C are almost same for any current settings. The values of notch toughness at HAZ area are higher than that of weld area due to the coarsening of ferrite grain of HAZ occurs with higher heat input. From microhardness and microstructure result, it can be concluded that large inclusion content in weld deposit is the cause of lower notch toughness value.

Study on Diversified Developments Improving Environmental Values-In Case of University Campus -

This study aims to clarify constructions which enable to improve socio-cultural values of environments and also to obtain new knowledge on selecting development plans. CVM is adopted as a method of evaluation. As a case of the research, university campus (CP; the following) is selected on account of its various environments, institutions and many users. Investigations were conducted from 4 points of view, total value and utility value of whole CP environments, values of each environment existing in CP or development plan assumed in CP. Furthermore, respondents- attributes were also investigated. In consequence, the following is obtained. 1) Almost all of total value of CP is composed of utility value of direct use. 2) Each of environment and development plans whose value is the highest is clarified. 3) Moreover, development plan to improve environmental value the most is specified.

Sensitivity of Input Blocking Capacitor on Output Voltage and Current of a PV Inverter Employing IGBTs

This paper present a MATLAB-SIMULINK model of a single phase 2.5 KVA, 240V RMS controlled PV VSI (Photovoltaic Voltage Source Inverter) inverter using IGBTs (Insulated Gate Bipolar Transistor). The behavior of output voltage, output current, and the total harmonic distortion (THD), with the variation in input dc blocking capacitor (Cdc), for linear and non-linear load has been analyzed. The values of Cdc as suggested by the other authors in their papers are not clearly defined and it poses difficulty in selecting the proper value. As the dc power stored in Cdc, (generally placed parallel with battery) is used as input to the VSI inverter. The simulation results shows the variation in the output voltage and current with different values of Cdc for linear and non-linear load connected at the output side of PV VSI inverter and suggest the selection of suitable value of Cdc.

Periodic Oscillations in a Delay Population Model

In this paper, a nonlinear delay population model is investigated. Choosing the delay as a bifurcation parameter, we demonstrate that Hopf bifurcation will occur when the delay exceeds a critical value. Global existence of bifurcating periodic solutions is established. Numerical simulations supporting the theoretical findings are included.