Stochastic Fuzzy Algorithms for Impairment of Assets Management

  • Marcel Ioan Bolos University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting https://orcid.org/0000-0002-5959-8014
  • Victoria Bogdan University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting https://orcid.org/0000-0003-2315-0071
  • Ioana Alexandra Bradea Bucharest Academy of Economic Studies https://orcid.org/0000-0002-8052-866X
  • Claudia Diana Sabau Popa University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting
  • Dorina Nicoleta Popa University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting

Abstract

The present paper aims to analyze the impairment of tangible assets with the help of artificial intelligence. Stochastic fuzzy numbers have been introduced with a dual purpose: on one hand to estimate the cash flows generated by tangible assets exploitation and, on the other hand, to ensure the value ranges stratifications that define these cash flows. Estimation of cash flows using stochastic fuzzy numbers was based on cash flows generated by tangible assets in previous periods of operation. Also, based on the Lagrange multipliers, were introduced: the objective function of minimizing the standard deviations from the recorded value of the cash flows generated by the tangible assets, as well as the constraints caused by the impairment of tangible assets identification according to which the cash flows values must be equal to the annual value of the invested capital. Within the determination of the impairment value and stratification of the value ranges determined by the cash flows using stochastic fuzzy numbers, the impairment of assets risk was identified. Information provided by impairment of assets but also the impairment risks, is the basis of the decision-making measures taken to mitigate the impact of accumulated impairment losses on company’s financial performance.

Author Biographies

Marcel Ioan Bolos, University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting
University professor habil.
Victoria Bogdan, University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting
University professor
Ioana Alexandra Bradea, Bucharest Academy of Economic Studies
University assistant
Claudia Diana Sabau Popa, University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting
University professor habil.
Dorina Nicoleta Popa, University of Oradea, Faculty of Economic Sciences, Department of Finance- Accounting
associate professor

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Published
2020-02-03
How to Cite
BOLOS, Marcel Ioan et al. Stochastic Fuzzy Algorithms for Impairment of Assets Management. INTERNATIONAL JOURNAL OF COMPUTERS COMMUNICATIONS & CONTROL, [S.l.], v. 15, n. 1, feb. 2020. ISSN 1841-9844. Available at: <http://univagora.ro/jour/index.php/ijccc/article/view/1001>. Date accessed: 08 july 2020. doi: https://doi.org/10.15837/ijccc.2020.1.3690.

Keywords

fuzzy logic-based methods, tangible assets, impairment, management tool, risk, fuzzy stochastic number, cash flows, performance.