A Resource allocation problem for Social Security and National Insurance Trust (SSNIT) and Home Finance Company Unit, Trust (HFCUT)
Loading...
Date
1996-07-14
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
This thesis, being a proposal for SSNIT and HFCUT, aims at providing these institutions with an alternative way of allocating their limited resources over their areas of investment to ensure maximum total return In other words the thesis recommends to these two institutions some alternative ways of 5electing reasonably safe ventures and investing in them for maximum returns. A simulated joint resource allocation problem for the two firms involved is also considered to see if it would be profitable for them to engage in joint investments -
We found that on the average, the optimal total return on investment per annum for SSNIT was ¢68,924.14M and we could say with a probability of 0.95 that this optimal value is bounded above by ¢389,644..7M.
Similarly we found that on the average the optimal total return on investment for HFC-UT was ¢2,408.063M per annum and we could say with a probability of 0.95 that the optimal value is bounded above by ¢30713.96M. We also simulated a joint investment problem in which the projects and the resources of the firms were combined to see if the joint optimal return would be higher than the sum of the sep-rat optimal returns. First, we
found that, on the average, the tta1 optimal
return for the joint investment was ¢257,7399M per annum but with a probability of 0.95,could be said to be bounded above by ¢1,696,819M -
Finally we found that, on the average the sum of the separate optimal returns was lower than the average optimal return from the joint investment. Hence we conclude that on the average it is much more profitable for the two firms to run a joint investment programme than to run their separate investment projects.
Description
A thesis submitted to the Board of Postgraduate Studies, Kwame Nkrumah University of Science and Technology, Kumasi, in partial fulfilment of the requirement for the award of the Degree of Master of Science in Mathematics, 1996