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The primary purpose of this paper is to develop the translation formula between the required return on unlevered and levered equity for the specific case where cash flows have a finite lifetime and the flow to debt is prespecified. The secondary purpose of this paper is to underpin the importance of the type of stochasticity of cash flows for translation formulas. A general derivation of such formulas and the discount rate in the free cash flow approach is shown.

The paper starts with the same assumptions that have been applied by Modigliani and Miller (1963), Miles and Ezzell (1980) and other researchers. Then the paper develops the mathematical foundations to apply a deterministic backward-iterative scheme for valuing cash flows. After stating the valuation formulas for levered and unlevered equity, debt and tax shields, the authors mathematically derive the relationship between the unlevered return and levered return on equity.

Conventional translation formulas apply to very special cases. They can generally not be used for projects with nonconstant leverage and a finite lifetime. In general, translation formulas depend on continuing values, cash flows, leverage, taxation, risk-free rate, etc. In this paper, the translation depends on the structure of the debt in addition to the well-known parameters in conventional formulas. This paper formula contains the Modigliani-Miller translation formula as a special case.

The authors develop a novel formula for the translation of the required return on unlevered to levered equity. With this formula, the authors offer a solution for the consistent valuation of cash flows with a limited lifetime and given debt financing.

The purpose of this paper is to develop new simple logics and translations for hierarchical model checking. Hierarchical model checking is a model-checking paradigm that can appropriately verify systems with hierarchical information and structures.

In this study, logics and translations for hierarchical model checking are developed based on linear-time temporal logic (LTL), computation-tree logic (CTL) and full computation-tree logic (CTL*). A sequential linear-time temporal logic (sLTL), a sequential computation-tree logic (sCTL), and a sequential full computation-tree logic (sCTL*), which can suitably represent hierarchical information and structures, are developed by extending LTL, CTL and CTL*, respectively. Translations from sLTL, sCTL and sCTL* into LTL, CTL and CTL*, respectively, are defined, and theorems for embedding sLTL, sCTL and sCTL* into LTL, CTL and CTL*, respectively, are proved using these translations.

These embedding theorems allow us to reuse the standard LTL-, CTL-, and CTL*-based model-checking algorithms to verify hierarchical systems that are modeled and specified by sLTL, sCTL and sCTL*.

The new logics sLTL, sCTL and sCTL* and their translations are developed, and some illustrative examples of hierarchical model checking are presented based on these logics and translations.

Choosing the best bid is a central step in any tendering process. If the award criterion is the economically most advantageous tender (EMAT), this involves scoring bids on price and quality and ranking them. Scores are calculated using a bid evaluation formula that takes as inputs price and quality, and their respective weights. The choice of formula critically affects which bid wins. We study 38 such formulas and discuss several of their aspects, such as how much the outcome of a tender depends on which formula is being used, relative versus absolute scoring, ranking paradox, iso-utility curves, protection against a winner with an extremely high price, and how a formula reflects the weights of price and quality. Based on these analyses, we summarize the (dis)advantages and risks of certain formulas and provide associated warnings when applying certain formulas in practice.

Several anomalies exist between current valuation theories and the various practices in use in the financial world. Most practitioners are aware that the traditionally used valuation tables are based on the premise that all monies are received/paid in arrear and that interest is converted to the account at the end of the year. It has been argued, for many years, that the adjustments needed to accurately reflect financial practice were too difficult to implement and, in any event, made little difference to the valuation. However, with very large rentals no longer being uncommon and with the existence of the large property portfolios, increased accuracy in the calculation of YPs, etc, and a more flexible approach to properly reflect financial practices is not only possible but desirable. This paper sets out to demonstrate how such accuracy and flexibility can be achieved.

Using typical structure of asphalt pavement in Harbin area of China, and the formula of generalized friction coefficient between base and surface layers of asphalt pavement in cold area is established.

Through structural characteristics analysis of asphalt pavement in cold area, the generalized formula of friction coefficient between base and surface layers of asphalt pavement in cold area is derived. The formula can quickly calculate the friction coefficient between layers of asphalt pavement.

Based on quantitative analysis to the contacting state between layers of asphalt pavement in cold area, the relationships between generalized friction coefficient and resilient modulus of asphalt mixtures, temperature shrinkage coefficient and temperature have been established.

The findings can enrich the description methods about the contacting state between layers of asphalt pavement, and have a certain theoretical and practical value. Through the application of the formula of generalized friction coefficient between layers, it can provide a technical basis for the asphalt pavement design, construction and maintenance in cold area.

The purpose of this study is to develop the dictionary with grammar and multiword structure has to be used in conjunction with sentiment analysis to investigate the relationship between financial news and stock market volatility.

An algorithm has been developed for calculating the sentiment orientation and score of data with added information, and the results of calculation have been integrated to construct an empirical model for calculating stock market volatility.

The experimental results reveal a statistically significant relationship between financial news and stock market volatility. Moreover, positive (negative) news is found to be positively (negatively) correlated with positive stock returns, and the score of added information of the news is positively correlated with stock returns. Model verification and stock market volatility predictions are verified over four time periods (monthly, quarterly, semiannually and annually). The results show that the prediction accuracy of the models approaches 66% and stock market volatility with a particular trend-predicting effect in specific periods by using moving window evaluation.

Only one news source is used and the research period is only two years; thus, future studies should incorporate several data sources and use a longer period to conduct a more in-depth analysis.

Understanding trends in stock market volatility can decrease risk and increase profit from investment. Therefore, individuals or businesses can feasibly engage in investment activities for profit by understanding volatility trends in capital markets.

The ability to exploit textual information could potentially increase the quality of the data. Few scholars have applied sentiment analysis in investigating interdisciplinary topics that cover information management technology, accounting and finance. Furthermore, few studies have provided support for structured and unstructured data. In this paper, the efficiency of providing the algorithm, the model and the trend in stock market volatility has been demonstrated.

The purpose of this paper is to present a methodology based on the transactional asset pricing approach (TAPA) and to illustrate the application of TAPA within the context of professional property valuation.

The TAPA is a novel analytical valuation methodology recasting the traditional derivations of the income approach techniques, including DCF, from a transactional perspective based on the principle of inter-temporal transactional equity, instead of the conventional investor-specific view originating from I. Fisher (1907, 1930).

The authors present DCF analysis as a specific case of a more general TAPA approach to valuation under the income method. This also leads to novel analytical derivations of the Direct income capitalization, Gordon, Inwood, Hoskold and Ring models. Based on the TAPA framework, the authors also research the value-enhancing effects of benchmark market volatility on the subject property value and conclude that such effects can be statistically significant depending on the DCF analysis period.

The research has a direct bearing on time-variable discount rate forecasting capabilities, as it uses a time-variant structure for the discount rates.

Using the US Case-Shiller and BLS rental indices as a valuation benchmark, the paper contains an example of applying the general TAPA framework to value a notional property under a TAPA’s DCF version. Such property valuations can be easily replicated in practice – especially in the context of equitable/fair value determination under the International Valuation Standards Council valuation standards.

TAPA is a deductive principles-based theory of asset valuation especially fit for the transactional and illiquid asset valuation contexts – thus enabling a more efficient pricing for such assets in a sense of reflecting the transactional interests of the parties more closely than achievable under the conventional valuation methods.

TAPA is an original filiation of research with roots going as far back as Aristotelian Catallactics. It contains analytical formalizations of certain transactional equity principles.

The aim of this paper is to review some of the findings in the field of readability research. First, the differences in meaning between the terms ‘readability’ and ‘legibility’ are discussed. Next, the origins and developments of readability formulas are examined in detail. Then, the best‐known formulas for English language material are described so as to give the reader a brief overview of what has been achieved in this field of research. Finally, the principal applications of these formulas are described.

The purpose of this paper is to consider the logical specification, and automated verification, of high‐level robotic behaviours.

The paper uses temporal logic as a formal language for providing abstractions of foraging robot behaviour, and successively extends this to multiple robots, items of food for the robots to collect, and constraints on the real‐time behaviour of robots. For each of these scenarios, proofs of relevant properties are carried out in a fully automated way. In addition to automated deductive proofs in propositional temporal logic, the possibility of having arbitrary numbers of robots involved is considered, thus allowing representations of robot swarms. This leads towards the use of first‐order temporal logics (FOTLs).

The proofs of many properties are achieved using automatic deductive temporal provers for the propositional and FOTLs.

Many details of the problem, such as location of the robots, avoidance, etc. are abstracted away.

Large robot swarms are beyond the current capability of propositional temporal provers. Whilst representing and proving properties of arbitrarily large swarms using FOTLs is feasible, the representation of infinite numbers of pieces of food is outside of the decidable fragment of FOTL targeted, and practically, the provers struggle with even small numbers of pieces of food.

The work described in this paper is novel in that it applies automatic temporal theorem provers to proving properties of robotic behaviour.