Heuristic analysis of a near optimal approximation algorithm for the determination of investment options

When cash becomes available in a company, there are several strategies that allowus to benefit from it. The problem is how much to invest, for how long, and using whichof the investment options in order to get the maximum profit out of it. A commonproblem in business administration is that we do not...

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Autores Principales: Flores, Juan, Ávila, Javier, González, Federico, Flores Romero, Beatriz
Formato: Artículo
Idioma: Español
Publicado: 2015
Acceso en línea: http://revistas.ucr.ac.cr/index.php/matematica/article/view/273
http://hdl.handle.net/10669/12921
Sumario: When cash becomes available in a company, there are several strategies that allowus to benefit from it. The problem is how much to invest, for how long, and using whichof the investment options in order to get the maximum profit out of it. A commonproblem in business administration is that we do not want to keep the money idle inthe checking account, neither to over-invest. When the cash function becomes negativean analogous scheme is used as we want to pay as little interests as possible. In thispaper we are reporting the experiments and implementation of several heuristics thatcan be used with the greedy algorithm and how well they behave. Finally we developa hybrid algorithm that takes the best of the greedy algorithm and performs a verylimited search. We find in this work that with the greedy algorithm we use, in generalis not possible to optimize the profit for a given function; nevertheless the algorithmwe use can find profits that are very close to the optimum and in some cases it getsthe optimum. The proposed algorithm use a heuristic search based on the greedyscheme and greedy selection criteria to find profits close to the optimum. A softwareapplication was developed in order to show that the proposed strategy really works.Although this algorithm is suboptimal, it is very efficient in terms of time.Keywords: Common sense reasoning, knowledge representation,soft decision making,greedy algorithms, financial analysis.