Formule Blad CME

Indexing

C n=C k
()
In
Ik
k =¿ reference year for which cost or price is known
n=¿ year for which cost or price is to be estimated (n> k )
C n=¿ estimated cost or price of item in year n
C k =¿ known cost or price of item in reference year k

I n=
W1 ( ) ( )
Cn 1
Ck 1
+W 2
Cn2
Ck 2
+ …+W M
CnM
C kM( ) ∗I k
W 1 +W 2 +…+W M

M =¿ total number of items in the index ( 1 ≤m ≤ M )

C n=¿ cost or price of the mth item in year n
C k =¿ cost or price of the mth item in reference year k
W m =¿ weight assigned to the m th item
I k =¿ composite index value in year k

Power-sizing technique

( )
X
SA
C A=C B
SB

C A=¿ cost of plant A

C B=¿ cost of plant B
S A =¿ size of plant A
S B=¿ size of plant B
X =cost−capacityfactor

Learning curve estimation

lnu
Zu =K ( u )=K s
n ln2

u=¿ output unit number

Zu =¿ number of input units needed to produce output unit u
K=¿ number of unput units needed to produce the first output unit
s=¿ the learning curve slop parameter as a decimal
ln s
n= =¿ learning curve exponent
ln 2

Factor technique
C=∑ C d + ∑ f m U m
d m

C=¿ cost being estimated

C d=¿ cost of the selected component d estimated directly
f m=¿ cost per unit of component m
U m =¿ number of units of component m

Lang Factor technique

n
C TM =F Lang ∑ C p ,i
i=1

C TM =¿ capital cost of the extension

C p .i=¿ purchased cost for the major equipment components
n=¿ total number of individual units
F Lang=¿ Lang Factor

Present and future value of a single cash flow

N F
F=P ( 1+i ) ↔ P=
( 1+i )N

Future value of annuity

F= A [ ( 1+ i) N −1
i ] (
=A
F
A
,i % , N )
Present value of annuity

P= A
[
( 1+i )N −1
i ( 1+i )
N
=A
P
A],i% ,N( )
i=¿ effective interest rate per interest period
N=¿ number of compounding (interest) periods
P=¿ present value of money; equivalent value of one or more cash flows today
F=¿ future amount of money; equivalent value of one or more cash flows at a point in the future
A=¿ end-of-period cash flows in a uniform series continuing for a certain number of periods

Risk premium
( R S−R F ) =β S ( R M −R F )
Required return on equity (no debt)
e a=R S=R F + β S ( R M −R F )

Effective interest rate

( ) −1
M
r
i= 1+
M

r =¿ be the nominal, annual interest rate per year

M =¿ the number of compounding periods per year (end of the period payment)
i=¿ the effective interest per year

Effective rate for the modelling period

i m= √(1+i)−1
X

i m=¿ effective rate for the modelling period

X =¿ modelling periods per compounding period
i=¿ effective rate