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词汇 Equivalent annual cost
分类 英语词汇 英语翻译词典
释义

Equivalent annual cost

英语百科

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. It is calculated by dividing the NPV of a project by the "present value of annuity factor":

 EAC = \frac{NPV}{A_{t,r}}, where {A_{t,r}} = \frac{1 - \frac{1}{(1 + r)^t}}{r}

Alternatively, EAC can be obtained by multiplying the NPV of the project by the "loan repayment factor".

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