| Autor: |
Krolak, Patrick D., Melton, James D. |
| Zdroj: |
Simulation; May1971, Vol. 16 Issue 5, p217-226, 10p |
| Abstrakt: |
The decision to rent or buy a home is probably the most important in family finance. Yet the analysis of this problem in the literature has been superfi cial and subject to many criticisms. This paper will develop a complete simulation model to investigate this decision and to look at many related questions such as the type of loan best suited to the family's financial policies, the price range that a given family can afford, and the type of other investments consistent with this decision.The model simulates the family income, expenses, and investment portfolio on a monthly basis over the planning period. The results are compared to a deterministic analysis based on a capital budgeting model of the family. Finally, a case study based on data obtained from a real family will be present ed. Further use of the simulation model to study many other capital budgeting problems associated with family finance will also be discussed. [ABSTRACT FROM PUBLISHER] |
| Databáze: |
Complementary Index |
| Externí odkaz: |
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