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equivalent annual cost

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  • Equivalent annual cost — In finance the equivalent annual cost (EAC) is the cost per year of owning and operating an asset over its entire lifespan. EAC is often used as a decision making tool in capital budgeting when comparing investment projects of unequal lifespans.… …   Wikipedia

  • Equivalent Annual Cost - EAC — The annual cost of owning an asset over its entire life. Equivalent annual cost is often used by firms for capital budgeting decisions. Eqivalent annual cost is calculated as: The equivalent annual cost equation allows a company to compare the… …   Investment dictionary

  • Equivalent annual cost — The equivalent cost per year of owning an asset over its entire life. The New York Times Financial Glossary …   Financial and business terms

  • equivalent annual cost — The cost per year of owning an asset over its entire life. Bloomberg Financial Dictionary …   Financial and business terms

  • Annual premium equivalent — (APE) is used for comparison of cost by determining what the price would be if paid once for a year s period. This is particularly used when the sales contain both single premium and regular premium business. This is used in insurance industry to …   Wikipedia

  • Cost of conflict — is a tool which attempts to calculate the price of conflict to the human race. The idea is to examine this cost, not only in terms of the deaths and casualties and the economic costs borne by the people involved, but also the social,… …   Wikipedia

  • Annual percentage rate — Parts of total cost and effective APR for a 12 month, 5% monthly interest, $100 loan paid off in equally sized monthly payments. The term annual percentage rate (APR), also called nominal APR, and the term effective APR, also called EAR,[1]… …   Wikipedia

  • Cost of capital — The cost of capital is a term used in the field of financial investment to refer to the cost of a company s funds (both debt and equity), or, from an investor s point of view the shareholder s required return on a portfolio of all the company s… …   Wikipedia

  • Miles per gallon gasoline equivalent — Monroney label showing the EPA s fuel economy equivalent ratings for the 2011 Chevrolet Volt. The rating for all electric mode (left) is expressed in miles per gallon gasoline equivalent. Miles per gallon gasoline equivalent (MPGe or MPGge) is a… …   Wikipedia

  • Capital budgeting — (or investment appraisal) is the planning process used to determine whether a firm s long term investments such as new machinery, replacement machinery, new plants, new products, and research and development projects are worth pursuing.Many… …   Wikipedia

  • List of finance topics — Topics in finance include:Fundamental financial concepts* Finance an overview ** Arbitrage ** Capital (economics) ** Capital asset pricing model ** Cash flow ** Cash flow matching ** Debt *** Default *** Consumer debt *** Debt consolidation ***… …   Wikipedia

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