Monte Carlo simulation (MCS) applies repeated random sampling (randomness) to obtain numerical results for deterministic problem solving. It is widely used in optimization, numerical integration, and risk-based decision making. Probability and cumulative density functions are statistical measures that apply probability distributions for random variables, and can be used in conjunction with MCS to solve deterministic problem.
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Reader can refer to the download source code file to see color figs in this chapter.
Stock Simulations
The 1st example ...
