Ebook: Fuzzy Logic in Financial Analysis

In today’s increasing complex and uncertain business environment, financial analysis is yet more critical to business managers who tackle the problems of an economic or business nature. Knowledge based on formal logic and even experience becomes less sufficient. This volume systematically sets out the basic elements on which to base financial analysis for business in the new century. It incorporates a previous work that can serve as the basis and foundation to the new contributions that are now being made in the field of financial economy and intend to provide business with instruments and models that are suitable for the treatment of the new economic context. In dealing with rapid and unpredictable changes in technological and business conditions, it postulates a growing reliance on the opinions of experts instead of past data or probabilistic forecasts, which is a radical change but may yield fruitful results. For this reason, much emphasis is devoted to the problem of aggregation of the opinion of experts in the financial field, with the object of limiting, wherever possible, the subjective component of the opinions and making sure that the decisions have the best guarantee of reaching the desired objectives.

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In today’s increasing complex and uncertain business environment, financial analysis is yet more critical to business managers who tackle the problems of an economic or business nature. Knowledge based on formal logic and even experience becomes less sufficient. This volume systematically sets out the basic elements on which to base financial analysis for business in the new century. It incorporates a previous work that can serve as the basis and foundation to the new contributions that are now being made in the field of financial economy and intend to provide business with instruments and models that are suitable for the treatment of the new economic context. In dealing with rapid and unpredictable changes in technological and business conditions, it postulates a growing reliance on the opinions of experts instead of past data or probabilistic forecasts, which is a radical change but may yield fruitful results. For this reason, much emphasis is devoted to the problem of aggregation of the opinion of experts in the financial field, with the object of limiting, wherever possible, the subjective component of the opinions and making sure that the decisions have the best guarantee of reaching the desired objectives.

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In today’s increasing complex and uncertain business environment, financial analysis is yet more critical to business managers who tackle the problems of an economic or business nature. Knowledge based on formal logic and even experience becomes less sufficient. This volume systematically sets out the basic elements on which to base financial analysis for business in the new century. It incorporates a previous work that can serve as the basis and foundation to the new contributions that are now being made in the field of financial economy and intend to provide business with instruments and models that are suitable for the treatment of the new economic context. In dealing with rapid and unpredictable changes in technological and business conditions, it postulates a growing reliance on the opinions of experts instead of past data or probabilistic forecasts, which is a radical change but may yield fruitful results. For this reason, much emphasis is devoted to the problem of aggregation of the opinion of experts in the financial field, with the object of limiting, wherever possible, the subjective component of the opinions and making sure that the decisions have the best guarantee of reaching the desired objectives.

Content:
Front Matter....Pages I-XIII
The Financial Activity of Businesses....Pages 1-11
Basic Elements for the Treatment of Uncertainty....Pages 13-36
Accountancy and Decision Techniques....Pages 37-43
The Estimate of Economic-Financial Values by Means of the Budget....Pages 45-60
Long Term Financial Solvency....Pages 61-76
Short Term Financial Solvency....Pages 77-93
Financial Analysis by Means of Ratios....Pages 95-116
Risk Analysis....Pages 117-133
Inference Chains in Financial Analysis....Pages 135-157
The Effect of Fixed Costs on Profit....Pages 159-178
Capital Cost....Pages 179-201
Relation between Financial Structure and Capital Cost....Pages 203-216
Incidence of the Financial Structure on the Value of the Business....Pages 217-240
Sequential Study of the Modifications in the Ratio of Indebtedness....Pages 241-255
Determination of the Possible Strategies for Reducing Indebtedness in Business....Pages 257-277
Sequential Strategies for Raising Financial Means....Pages 279-301
Differentiation of Financial Products....Pages 303-317
Selection of Financial Products....Pages 319-340
Neural Structures for the Selection of Financial Resources....Pages 341-357
Assignment of Financial Means in Business....Pages 359-381
The Economic-Financial Value of a Business....Pages 383-409
The Setting up of a Financial Product....Pages 411-426
Effects of Economic Surroundings on Financial Activity....Pages 427-444
Back Matter....Pages 445-451

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In today’s increasing complex and uncertain business environment, financial analysis is yet more critical to business managers who tackle the problems of an economic or business nature. Knowledge based on formal logic and even experience becomes less sufficient. This volume systematically sets out the basic elements on which to base financial analysis for business in the new century. It incorporates a previous work that can serve as the basis and foundation to the new contributions that are now being made in the field of financial economy and intend to provide business with instruments and models that are suitable for the treatment of the new economic context. In dealing with rapid and unpredictable changes in technological and business conditions, it postulates a growing reliance on the opinions of experts instead of past data or probabilistic forecasts, which is a radical change but may yield fruitful results. For this reason, much emphasis is devoted to the problem of aggregation of the opinion of experts in the financial field, with the object of limiting, wherever possible, the subjective component of the opinions and making sure that the decisions have the best guarantee of reaching the desired objectives.

Content:
Front Matter....Pages I-XIII
The Financial Activity of Businesses....Pages 1-11
Basic Elements for the Treatment of Uncertainty....Pages 13-36
Accountancy and Decision Techniques....Pages 37-43
The Estimate of Economic-Financial Values by Means of the Budget....Pages 45-60
Long Term Financial Solvency....Pages 61-76
Short Term Financial Solvency....Pages 77-93
Financial Analysis by Means of Ratios....Pages 95-116
Risk Analysis....Pages 117-133
Inference Chains in Financial Analysis....Pages 135-157
The Effect of Fixed Costs on Profit....Pages 159-178
Capital Cost....Pages 179-201
Relation between Financial Structure and Capital Cost....Pages 203-216
Incidence of the Financial Structure on the Value of the Business....Pages 217-240
Sequential Study of the Modifications in the Ratio of Indebtedness....Pages 241-255
Determination of the Possible Strategies for Reducing Indebtedness in Business....Pages 257-277
Sequential Strategies for Raising Financial Means....Pages 279-301
Differentiation of Financial Products....Pages 303-317
Selection of Financial Products....Pages 319-340
Neural Structures for the Selection of Financial Resources....Pages 341-357
Assignment of Financial Means in Business....Pages 359-381
The Economic-Financial Value of a Business....Pages 383-409
The Setting up of a Financial Product....Pages 411-426
Effects of Economic Surroundings on Financial Activity....Pages 427-444
Back Matter....Pages 445-451
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