Directed minimum cost spanning tree problems of a special kind are studied, namely those which show up in considering the problem of connecting units (houses) in mountains with a purifier. For such problems an easy method is described to obtain a minimum cost spanning tree. The related cost...

In this paper we propose a new rule to allocate risk capital to portfolios or divisions within a firm. Specifically, we determine the capital allocation that minimizes the excesses of sets of portfolios in lexicographical sense. The excess of a set of portfolios is defined as the expected loss...

In this paper we propose a new rule to allocate risk capital to portfolios or divisions within a firm. Specifically, we determine the capital allocation that minimizes the excesses of sets of portfolios in lexicographical sense. The excess of a set of portfolios is defined as the expected loss...