Matt Spiegel for their comments and suggestions. Abstract This paper develops a model of optimal capital structure with stochastic interest rate which is assumed to follow a mean-reverting process. Closed-form solutions are obtained for both the value of the firm and the value of its risky debt. The paper finds that the current level and the long-run mean of the interest rate process play disti...

Recently, due to regulations on emissions of vessels, fuel is changing liquefied natural gas (LNG). When using LNG as fuel, it advantageous in terms saving and boil-off control if a small-scale liquefaction process installed the ship. However, limited space, for ships has consider not only efficiency but also simplicity compactness. In this respect, different from onshore plants, research insuf...

aims: sludge is an inescapable component of all wastewaters that originated from their treatment. dissolved air flotation (daf) process as an alternative clarifier is used in treatment of drinking water, pretreatment of wastewater, and as a phase separator in sludge activation processes. this study aimed to calibrated the usage of daf process in a laboratory scale and under various conditions, ...

The problem of mean-square optimal estimation of the linear functional AT ξ = ∫ T 0 a(t)ξ(t)dt that depends on the unknown values of a continuous time random process ξ(t), t ∈ R, with stationary nth increments from observations of the process ξ(t) at time points t ∈ R \ [0;T ] is investigated under the condition of spectral certainty as well as under the condition of spectral uncertainty. Formu...

The American option evaluation is a relatively complex and expensive process due to commonly used methodologies as Finite Differences, Dynamic Programming, Monte Carlo Simulation, etc. needs high computational performance. Besides that, the complexity needed to calculate the option value and the optimal threshold increases when the price of underlying asset follows the Mean Reversion Stochastic...

In this paper, the application of D-optimal models, as an alternative to response surface models (RS models) for design of experiment (DOE) was examined. Two D-optimal models for tilt-rotors in the wind tunnel experiment, as a form of quadratic functions, were generated based on a chosen optimality criterion. This optimality criterion was used to generate the optimized sampled points in the des...