Stochastic Process, Markov Chains, Banking.
is.irreducible(mc) period(mc) #stationary distribution stationary_dist = steadyStates(mc) Let our random variable X(t) denote the state the borrower is in at time t, where t takes on values in the set {0,1,2,…,12}. We will set X(0) = H. We can model the banks profit (or loss) on this loan using the