This paper examines the effect of Canadian agricultural business risk management (BRM) programs on farm financial performance. Monte Carlo simulation is used to model stochastic prices and production for a representative Alberta cropping operation. Net present value (NPV) analysis is used to...

Project schedule development with CPM cannot handle uncertainty, thus PERT and Monte Carlo Simulation (MCS) are the most frequently used methods from best-in-class companies. This study compares the results of the standard MCS with those of PERT and addresses the incorporation of project risk...

An electricity tolling agreement (or, tolling contact) is a supply contract in which the buyer reserves the right to take the output of an underlying electricity generation asset by paying a predetermined premium to the asset owner. We propose a real options approach to value a tolling contract...

The article deals with a recent and much up to date field of econometric science not yet known to the Russian reader — financial econometrics. Terminology and concepts of different kinds of risk management as well as methods of its measurement are considered in the paper. The article is a...

The aim of this paper is to study the impact of structure of dependency on the pricing of multi-name credit derivatives such as collateralised debt obligations (CDO). The correlation between names defaulting has an effect on the value of the basket credit derivatives. We present a copula based...

Monte Carlo simulation provides a risk management tool for solving line layout problems when material flow requirements change over time and/or are uncertain. This study demonstrates this capability for line layout problems where material handling costs are not directly proportional to the...

The income of agricultural enterprises has always been influenced by both weather and price volatility. Nevertheless, the risk environment of various farms seems not to be the same. Similarly, risk factors are not independent of each other. The aim of the paper is to assess the spatial and...