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Case
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Reference no. HKS1127.0
Compact case
Authors:
Published by:
John F Kennedy School of Government (1992)
Length:
5 pages

Abstract

This teaching note shows how capital investment analyses can be simplified using continuous discounting and the exponential function "e." Cookbook formulas for diverse cost and benefit time patterns are provided.

Topics

Benefit-cost analysis; Capital budgeting; Discounting; Economics

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