This paper characterizes a decision framework by which a firm can manage generational product replacements under stochastic technological changes. First, we characterize an optimal threshold-based product replacement policy that maximizes the firm's expected total profit for a finite planning...

There are distribution functions, mean value and variance of the uniform and the triangular distributions derived in this paper. The article deals with the procedure how to get the random values above mentioned distributions from pseudo-random numbers by the inverse transformation method. The...

We consider the expected shortfall of accounting values, or, mathematically speaking, of random variables that are not continuous (i. e. whose cumulative distribution function is not continuous). Acerbi and Tasche show that one has to abandon the conditional expectation in order to maintain...