- equivalent annual cost
- The cost per year of owning an asset over its entire life. Bloomberg Financial Dictionary
Financial and business terms. 2012.
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
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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
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