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Finally, cognitive radio allows application developers to create applications that are platform independent and that can be augmented easily through dynamic application of features, patches, and capabilities. Cognitive radio applications span multiple wireless devices including mobile phones, smart phones, PDAs, and computing devices. Today s digital cellular networks use a variety of technologies for the air interface and support multiple data standards. To add to the complexity, the wireless industry is introducing GPS, Bluetooth, and a variety of equally disruptive protocols to the mix. Cognitive radio offers a solution to accommodate this plethora of standards, frequency bands, and applications by offering end-user devices that can be programmed using overthe-air software. With cognitive radio, a service provider will implement a common hardware platform and accommodate the interworking of all these standards and technologies via instantly downloadable software modules and firmware.

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Radio Frequency Identification (RFID)

A rational investor favors a higher return on a stock over a lower return, and prefers to take less risk rather than more risk. Unfortunately, there is no free lunch in the world of finance. A trade-off exists between higher expected return on an investment and greater risk. Safe investments have low returns. High returns require investors to take big risks.

Radio frequency identification (RFID) has its origins in the 1940s, when the fundamental technology that underlies modern RFID systems was developed to discriminate between inbound friendly aircraft and inbound enemy aircraft. Allied aircraft carried transponders that broadcast a unique radio signal when interrogated by radar, identifying them as a friendly. This Identify: Friend or Foe (IFF) system was the basis for the development of the technology set we refer to today as RFID. Modern aircraft still use transponders to automatically and uniquely identify themselves to ground controllers (the well-known squawk function). Many believe that RFID is an extension of the common barcode and, while the two share some application overlap, RFID is much more than a barcode.

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A typical RFID system is a remarkably simple collection of technology components. It comprises a collection of transponder tags, which form the heart of the system; a reader, which energizes the tags, collects information from them, and delivers the information to backroom

It s important that we all start on the same page when discussing expected returns and risk. In this section, we define some important terms that relate to the calculation of returns on an asset. We then tackle the thorny problem of understanding risk. Definitions Relating to Return: Expected Return on a Risky Asset E(Ri ) is the rate of return an investor expects to receive on a risky asset over a period of time. The expected return consists of regular cash flow payments, such as dividends on a stock or interest on a bond, plus or minus any changes in the price of the asset. When we discuss a pricing model in Principle 10, we describe how to estimate the expected return on a risky asset using a simple equation. Expected Return on a Portfolio of Risky Assets is the expected rate of return on each risky asset in a portfolio, multiplied by its portfolio weight. The portfolio weight is the percentage of the total portfolio s value that is invested in each risky asset. Expected Return on the Market E(Rm ) is the rate of return that an investor expects to receive on a diversified portfolio of common stock. The expected return on the market is usually measured by the recent

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