Possibilistic Fuzzy Net Present Value Model and Application

Table 5

Fuzzy discount rates and corresponding 𝛼-cuts, ∀,𝛼,0≤𝛼≤1.

Year (𝑖)	Fuzzy discount rates	Corresponding 𝛼-cuts
1	[1.0,1.1,1.15,1.25]11)𝑂(𝑀,𝑁	(1.1−0.1(1−𝛼)^1/𝑀1,1.15+0.1(1−𝛼)^1/𝑁1)
2	[1.03,1.05,1.07,1.09]22)𝑂(𝑀,𝑁	(1.03−0.02(1−𝛼)^1/𝑀1,1.07+0.02(1−𝛼)^1/𝑁2)
3	[1.05,1.07,1.08,1.09]33)𝑂(𝑀,𝑁	(1.05−0.02(1−𝛼)^1/𝑀3,1.08+0.01(1−𝛼)^1/𝑁3)
4	[1.02,1.03,1.04,1.06]44)𝑂(𝑀,𝑁	(1.02−0.01(1−𝛼)^1/𝑀4,1.04+0.02(1−𝛼)^1/𝑁4)