In the previous notes, I have prepared 1) the expected return and volatility of investment targets and 2) two mutually correlated random numbers following a standard normal distribution, which are ...

First, before looking at the results of the Monte Carlo simulation, let's look back again at what is commonly referred to as "simulation" in the world. The first result I saw in my previous note, ...

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Numbers are rather useful. This is unfortunate, because they're also rather confusing. Our brains have a hard time making sense of lists of numbers, so we employ an imaginary friend to help us — the ...

Journal of Financial Education, Vol. 40, No. 1/2 (SPRING/SUMMER 2014), pp. 94-114 (21 pages) There is a lack of coverage of an application of Monte Carlo simulation in capital budgeting in ...