• Journal of the Korean Operations Research and Management Science Society
• /
• v.13 no.2
• /
• pp.66-71
• /
• 1988

Let B be present value of some sequence. This paper concerns the maximization of the expected utility of the present value B when the utility function is exponential.

• The Korean Journal of Financial Management
• /
• v.1 no.1
• /
• pp.1-27
• /
• 1985

One of the most important research works in modern business enterpise is the relation between the purpose of business enterprise and decision making behavior of manager. It is because the coincidence of the former and the latter is considered an ideal type in evaluating the result of business management. Here I have set up assumptions in order to solve the above statements: (1) What purpose does the modern business enterprise set up and what kind of economic background does it have? (2) What is the theory of maximization of stock value among the purposes of business enterprise? (3) What kind of decision making do we do in the maximization of stock value in busiess administration? (4) How is the behavior of business financial manager's intention and decision made? The result pursued under the above assumptions shows that business manager's behavior of decision making is affected according to the degree that he gets some information, but basically is determined in consideration of his autonomous standpoint, namely the stability of business enterprise and the stability of manager himself while he faithfully performs his duty which is entrusted by stockholders. Therefore we come to the conclusion that there is a little gap between a manager's behavior of decision-making and the purpose of stock value maximization.

• Management Science and Financial Engineering
• /
• v.17 no.2
• /
• pp.99-129
• /
• 2011

This paper analytically studies how to choose hedging instrument for firms with steady operating cash flows from value maximization perspective. I derive a formula to determine option's optimal strike that makes hedged cash flow have the best monetary payoff given a hedger's view on the underlying asset. I find that not only the expected mean but also the expected standard deviation of the underlying asset in relation to the forward price and the implied volatility play a crucial role in making optimal hedging decision. Higher moments play a certain part in hedging decision but to a lesser degree.

• Journal of the Korean Society of Industry Convergence
• /
• v.8 no.2
• /
• pp.85-95
• /
• 2005

The margin level in the futures market platys an important role in balancing the default probability with the investor's opportunity cost. In this paper, we investigate whether the movement of KOSPI200 futures daily prices can be modeled with the extreme value theory. Based on this investigation, we examine the validity of the margin level set by the extreme value theory. Moreover, we propose an expected profit-maximization model for securities companies. In this model, the extreme value theory is used for cost estimation, and a regression analysis is used for revenue calculation. Computational results are presented to compare the extreme value distribution with the empirical distribution of margin violation in KOSPI200 and to examine the suitability of the expected profit-maximization model.

• CDE review
• /
• v.14 no.3
• /
• pp.26-36
• /
• 2008

• Atmosphere
• /
• v.16 no.2
• /
• pp.55-65
• /
• 2006

The characteristics of Depth-Area-Duration (DAD) for 50 storms over the Geumgang river basin have been analysed in terms of various storm causes using the precipitation data during the period from 1984 to 2003. Results show that the ratio of the precipitation depth to duration, and the ratio of decrease in the precipitation depth to area are the largest in the case of the tropical cyclone. Storm maximization ratios are in the range 1.03 to 2.66 for the 50 selected heavy precipitation cases over Geumgang river basin, with the largest value for the tropical cyclone case, suggesting that the tropical cyclone could cause heavier precipitation than the other storms. In addition, the 24-hour probable maximum precipitation for the Geumgang river basin is estimated to be about 745 mm in the maximum precipitation area.

• The Transactions of The Korean Institute of Electrical Engineers
• /
• v.68 no.1
• /
• pp.129-139
• /
• 2019

In order for a gun-launched guided projectile to glide to the maximum range, when to deploy the fin and start flight with guidance and control should be considered in range optimization process. This study suggests a solution to the optimal guidance problem for flight range maximization of the flight model of a guided projectile in vertical plane considering the aerodynamic properties. After converting the nonlinear Multi-Phase Optimal Control Problem to Two-Point Boundary Value Problem, the optimized guidance command and the best fin deployment timing are calculated by the proposed numerical method. The optimization results of the multiple flight rounds with various initial velocity and launch angle indicate that determining specific launch condition incorporated with the guidance scheme is of importance in terms of mechanical energy consumption.

• The Journal of Fisheries Business Administration
• /
• v.14 no.1
• /
• pp.1-18
• /
• 1983

This study has examined the principle of rationalization as a guiding principle in fisheries management. Generally speaking, the guiding principle of business management is the principle of profitability which is oriented to the profit maximization, but it has been insisted by Dr, Mohri that the principle of profitability should be translated into the maximization of ratio of added value on gross capital, According to Dr. Durcker, added value (contributed value) can be used to analyze productivity only if the allocation of costs which together make up the figures is economically meaningful. Therefore, the rationalization of fisheries management can be measured as a result of economic allocation of costs, The analysis of economic allocation of costs divides into macro-allocation of costs and micro-allocation of costs. In fisheries management, the former makes use of the analysis of break-even point, and the latter analyzes the efficiency of individual cost respectively and the state of division of costs which allocate into above-the-line expenses of lay system and management's burden expenses. In macro-allocation of costs, it is advisable that fixed costs be converted into variable costs. This is characteristically possible in fisheries management, because wages belong to variable costs in fisheries management while they are regarde as fixed cost in the other industires. Because we could find that all costs would belong to above-the-line expenses, in micro-allocation analysis, the very costs which are directly related to fisherman's poduction activity should be classified into above-the-line expenses, and the other costs into management's burden expenses. This is a central problem in the rationalization of fisheries management.

• Journal of KIISE:Software and Applications
• /
• v.30 no.5_6
• /
• pp.454-460
• /
• 2003

In this paper, we propose an efficient method for recognizing human lips. Based on Point Distribution Model, a lip shape is represented as a set of points. We calculate a lip model and the distribution of shape parameters using Principle Component Analysis and Gaussian mixture, respectively. The Expectation Maximization algorithm is used to determine the maximum likelihood parameter of Gaussian mixture. The lip contour model is derived by using the gray value changes at each point and in regions around the point and used to search the lip shape in a image. The experiments have been performed for many images, and show very encouraging result.

• Environmental and Resource Economics Review
• /
• v.12 no.1
• /
• pp.75-90
• /
• 2003

In this paper we have shown that a Pigouvian tax is an adequate resolution of congestion externality to attain Pareto optimality using utility maximization. For this objective, taking an open access freeway as an example, we not only derived both marginal private benefit and marginal social benefit, but also assessed the divergence between marginal private benefit and marginal social benefit. As a result, we identified that the amount of a Pigouvian tax should be the same amount as the external time cost, which is the value of the marginal time cost to Individual a incurred by Individual b through freeway congestion. This Pigouvian tax coincides with the profit or wealth maximizing toll suggested by literature on the basis of profit maximization. In addition, because an open access freeway is accounted as common property resource, we proved that average social congestion cost is essentially equal to marginal private congestion cost in our model. Finally, we showed that the optimal value of trip derived in our model is the same as that generated on profit maximization approach.