EQUIVALENT ANNUAL ANNUITY APPROACH - EAA
One of two techniques used in capital budgeting to differentiate mutually exclusive projects with unstable lives. It computes the steady annual cash flow earned by a project within its lifespan if referring to an annuity. The current worth of the constant annual cash flows is precisely equivalent to the project’s net present value (NPV). In comparing projects with irregular lives, choose the one with higher EAA.
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A tool in monetary policy where banks are allowed to borrow money through repurchase agreements, and to respond to liquidity pressures. The governm ...
Data Warehousing
Electronic storage of information in a business or corporation. It should be secure, reliable and easy to retrieve and manage. It originated in 198 ...
One-Tailed Test
A statistical test where the critical area of a circulation is one-sided so that it is either less than or greater than a specific value, but not b ...
Less-than-Truckload
A shipping service that carries small loads of freight, weight between partial and full truckload. The service is being offered by many large and n ...
Original Cost
It simply refers to the total cost associated in buying an asset.
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