Equivalent annual cost


 

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Equivalent annual cost

The cost per year of owning an asset over its entire life.



Equivalent annual cost

Similar Matches

Annual equivalent rate

Annual equivalent rate

A figure quoted in loan advertisements to help people make compare one product with another. It indicates what the rate would be if interest was paid just once a year.


Certainty Equivalent Return

Certainty Equivalent Return

The certain (zero risk) return an investor would trade for a given (larger) return with an associated risk. For example, a particular investor might trade an uncertain expected 4% active return with 6% risk, for a certain active return of 1.5%.


Common stock equivalent

Common stock equivalent

A convertible security that is traded like an equity issue because the optioned common stock is trading at a high price.


Equivalent variation

Equivalent variation

The amount of money that, paid to a person, group, or whole economy, would make them as well off as a specified change in the economy. Provides a monetary measure of the welfare effect of that change that is similar to, but not in general the same as, compensating variation.


Equivalent bond yield

Equivalent bond yield

Annual yield on a short-term, noninterest-bearing security calculated for comparison to yields quoted on coupon securities.


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