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Investment Analysis Using Fuzzy Probability<br />

Mohd Fahzan Bin Fauzi<br />

Supervisor: Prof. Dr. Abdul Fatah Bin Wahab<br />

Bachelor of Science (Financial Mathematics)<br />

School of Informatics and Applied Mathematics<br />

In the uncertain economic environment, basic knowledge of the cash flow computation<br />

contains many ambiguities. Cash and interest rates are usually estimated by guessing<br />

based on expected values or other statistical methods to obtain them. The fuzzy set<br />

number can overcome the difficulty in estimating this parameter. This study was<br />

conducted to examine cash flows and interest rates using fuzzy probability approach. In<br />

this study, there are two types of investment analysis made. First, the fuzzy parameters<br />

used in the stochastic investment analysis. Then, subsequent investment analysis uses<br />

the concept of a fuzzy probability event.<br />

822 | UMT UNDERGRADUATE RESEARCH DAY 2018

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