Multi-Criteria Capital Budgeting Using FLIP

  • Authors:
  • Affiliations:
  • Venue:
  • ICCIMA '99 Proceedings of the 3rd International Conference on Computational Intelligence and Multimedia Applications
  • Year:
  • 1999

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Abstract

By using fuzzy linear programming, tolerance intervals are used for the capital availabilities at each point in time. The main advantage, compared to the unfuzzy problem formulation, is the fact that the decision maker is not forced into a precise formulation because of mathematical reasons. Linear membership functions which monotonically increase or decrease in the tolerance interval are used because they can be handled quite easily. A numeric example is given in the paper.