The weightedaveragecost of capital WACC is the rate that a company is expected to pay on average to all its security holders to finance its assets. The WACC is the minimum return that a company must earn on an existing asset base to satisfy its creditors, owners, and other providers of capital, or they will invest elsewhere. Companies raise money from a number of sources common equity , preferred equity , straight debt , convertible debt , exchangeable debt , Warrant finance warrants , Option finance options , Pension pension liabilities , executive stock option s, governmental subsidies, and so on. Different securities, which represent different sources of finance, are expected to generate different returns. The WACC is calculated taking into account the relative weights of each component of the capital structure . The more complex the company s capital structure, the more laborious it is to calculate ... formula ref J. Miles und J. Ezzell. The weightedaveragecost of capital, perfect capital markets ..., Ignacio and Tham, Joseph, A Note on the WeightedAverageCost of Capital WACC August 7, 2005 ... and investment banking DEFAULTSORT WeightedAverageCost Of Capital Category Capital Category Mathematical ... es WACC fr Co t moyen pond r du capital it Costo medio ponderato del capitale lv Vid j sv rt kapit la cena nl Weightedaveragecost of capital pl redni wa ony koszt kapita u pt Custo de capital ... e MV d MV e cdot R e frac MV d MV d MV e cdot R d cdot 1 t math See also Beta coefficient Cost of capital ... of sources of capital securities, types of liabilities math r i math is the required rate ... financed by one type of shares with the total market value of math MV e math and cost of equity math R e math and one type of bonds with the total market value of math MV d math and cost of debt math ... Modigliani Miller theorem Net present value Opportunity cost References Reflist External links ... and Burbano Perez and Some Pedagogical Notes on Valuation and Costs of Capital December 21, 2009 ... more details
pages 98 100 See also Weightedaveragecost of capital Category Environmental economics Category ...The Weightedaveragecost of carbon is used in finance to measure a firm s specific cost of carbon. It expresses how much an organization is expending to either reduce carbon emissions internally wict abatement or offsetting externally carbon offset . As such, the weightedaveragecost of carbon is the cost a company incurs to balance its carbon liability carbon footprint . It is a term with growing importance as legislation globally moves to internalize the impact of CO2 emission CO2 emission through cost mechanisms. The formula C V sub a sub × E sub a sub V sub o sub × E sub o sub L Verify source date April 2008 class wikitable Symbol Meaning Units C Weightedaveragecost of carbon currency V sub a sub Volume of carbon abated through internal projects and demand reduction per annum tons pa E sub a sub Averaged annual expenditure to achieve Va over life of projects currency V sub o sub Volume of purchased carbon offset per annum tons pa E sub o sub Expenditure per annum to acquire Vo currency L Total carbon liability per annum tons pa How it works Corporations have multiple ways to balance their carbon liability. They can reduce their carbon emissions their carbon footprint through capital investment, projects and demand reduction. They can purchase emission permits, be allocated quotas such as European Union Allowances EUA or buy carbon credits. The latter are largely produced by CDM projects Clean Development Mechanism and Joint Initiatives. These credits are largely traded in form of Certified Emission Reduction CER , or Emission Reduction Unit ERU . Voluntary Emissions Reduction VER have a similar function but have not registered cannot be registered under the rules ... cost channels. References A good article that discusses the weightedaveragecost of carbon has been ... to respond to the cost factor carbon is an important indicator of competitiveness. Financial ... more details
widgets per period below a certain production level, averagecost is higher due to under utilised equipment, while above that level, production bottlenecks increase the averagecost. Long run averagecost The long run is a time frame in which the firm can vary the quantities used of all inputs, even physical capital. A long run averagecost curve can be upward sloping, downward sloping, or downward ... customer is always lower than the averagecost for a potential competitor. The high fixed capital ...In economics , averagecost or unit cost is equal to total cost divided by the number of goods produced ... and demand . math AC frac TC Q math Short run averagecostAveragecost is distinct from the price ... of perfect competition , price may be lower than averagecost due to marginal cost pricing . Short run averagecost will vary in relation to the quantity produced unless fixed costs are zero ... costs. A typical averagecost curve will have a U shape, because fixed costs are all incurred before ... marginal cost curve will intersect a U shaped averagecost curve at its minimum, after which point the averagecost curve begins to slope upward. For further increases in production beyond this minimum, marginal cost is above average costs, so average costs are increasing as quantity increases. An example ..., with an in between level of output at which the slope of long run averagecost is zero. The typical long run averagecost curve is U shaped, by definition reflecting increasing returns to scale ... i.e., is operating in a downward sloping region of the long run averagecost curve if and only if it has ... sloping region of the long run averagecost curve if and only if it has decreasing returns to scale ... firms operating at the minimum point of their long run averagecost curves i.e., at the borderline ... costs, such as water supply and electricity supply. Long run averagecost is the unit cost of producing ... cost. Relationship to marginal cost When averagecost is declining as output increases, marginal cost ... more details
and not retained are a component of the return on capital to equity holders, and influence the cost of capital through that mechanism. Weightedaveragecost of capital Main Weightedaveragecost of capital The WeightedAverageCost of Capital WACC is used in finance to measure a firm s cost of capital ... be no need for a local Once cost of debt and cost of equity have been determined, their blend, the weightedaveragecost of capital WACC , can be calculated. This WACC can then be used as a discount ... glossary weightedaveragecost capital.html Business Valuation Glossary WACC Calculation using ...The cost of capital economics capital is a term used in the field of financial investment to refer to the cost ..., the expected return on capital must be greater than the cost of capital. The cost of capital is the rate of return that capital could be expected to earn in an alternative investment of equivalent risk. If a project is of similar risk to a company s average business activities it is reasonable to use the company s averagecost of capital as a basis for the evaluation. A company s securities typically include both debt and equity, one must therefore calculate both the cost of debt and the cost of equity to determine a company s cost of capital. However, a rate of return larger than the cost of capital is usually required. The cost of debt is relatively simple to calculate, as it is composed .... Similar to the cost of debt, the cost of equity is broadly defined as the risk weighted projected ... cost of capital, we must first calculate the costs of the individual financing sources Cost of Debt, Cost of Preference Capital and Cost of Equity Cap.. Calculation of WACC is an iterative procedure ... quote Corporate finance and investment banking DEFAULTSORT Cost Of Capital Category Capital ar ... as it is the minimum return that investors expect for providing capital to the company, thus ... credit ratings , the interest rate is largely exogenous not linked to the company s activities . The cost ... more details
Orphan date February 2009 The weightedaverage return on assets , or WARA , is the collective rates of return on the various types of tangible and intangible assets of a company. The presumption of a WARA is that each class of a company s asset base such as manufacturing equipment, contracts, software, brand names, etc carries its own rate of return, each unique to the asset s underlying operational risk as well as its ability to attain debt and equity ref Pratt, Shannon and Grabowski, Roger. Cost of Capital Applications and Examples. 3rd Edition. 2008 pp. 637 38. ref . Tangible assets, generally speaking, carry a lower rate of return due to two factors Debt financing tangible assets can be provided as collateral in attracting debt capital, which typically require a lower rate of return than equity capital Stability of earnings tangible assets tend to provide more certainty in expected earnings, which reduces risk to the financier of the asset Intangible assets, in contrast, carry a higher rate of return due to the same factors above. Averaging these rates of returns, as a percentage of the total asset base, produces a WARA. In theory, the WARA should generate the same cost of capital as the Weightedaveragecost of capital , or WACC. The theory holds true because the operating entity is considered fundamentally equivalent to the combined assets of the company. Therefore, the measure of risks across each are equivalent. In the case of the operating entity, risk is measured against the WACC, while in the case of the combined assets, risk is measured by the WARA. Reconciliations between the two are typically required as a component of a Purchase price allocation in accordance with the Financial Accounting Standards Board s FASB Statement of Financial Accounting Standards No. 141 Business Combinations SFAS 141 ref http fasb.org st summary stsum141.shtml Summary of Statement No. 141 Business Combinations Issued 6 01 ref . References Reflist Category Mathematical finance ... more details
Multiple issues wikify March 2012 orphan February 2009 notability November 2008 The weightedaverage loan age is the average number of months since the date of note origination of all the loans in a pool weighted by remaining principal balance . ref Taff, Laurence G. 2003 . http books.google.com books?id pNPosPIHqZ0C&pg PA142&dq 22Weighted Average Loan Age 22 Investing in Mortgage Securities p. 142 ref References reflist Category Finance finance stub ... more details
Wikify date July 2010 expand further date February 2012 The General WeightedAverage GWA is the average of grades in all subjects taken, whether passed or failed. ref http www.arellanolaw.edu admis.html gwa Arellano University Admissions . Accessed February 14, 2009 ref It is the result of combining the performance rating based on the screening criteria or subject. ref http www.auf.edu.ph modules.php?name News&file article&sid 74 Angeles University Foundation Academic Information . February 14, 2009. ref It serves as the indicator of a student s academic performance in a given semester or school year. ref http library.pregi.net gsdl collect actamedi index assoc HASH019c.dir doc.pdf. Learning Styles in the University of the Philippines College of Medicine . Accessed February 14, 2009. ref See also Academic grading in the Philippines References Reflist Category Academic grading by country Philippines Category Education in the Philippines Grading simple General WeightedAverage ... more details
of software etc. Whether a particular cost is capital or not would be dependent on many factors ...Capital costs are costs incurred on the purchase of real property land , building s, construction and equipment to be used in the production of good economics and accounting goods or the rendering of Service economics services , in other words, the total cost needed to bring a project to a commercially operable status. However, capital costs are not limited to the initial construction of a factory or other business. For example, the purchase of a new machine that will increase production and last for years is a capitalcost. Capital costs do not include Labour economics labor costs except for the labor used for construction. Unlike operating cost s, capital costs are one time expenses, although payment may be spread out over many years in financial reports and tax returns. Capital costs are fixed and are therefore independent of the level of output. A fossil fuel power plant s capital costs include the purchase of the land the plant is built on, permitting and legal costs, the equipment needed to run the plant, the cost of the plant s construction, the cost of financing and the cost of commissioning the plant incurred prior to commercial operation of the plant. They do not include the cost of the natural gas , fuel oil or coal used to fire the plant once the plant enters commercial operation or any tax es on the electricity that is produced. They also do not include the labor used to run the plant or the labor and supplies needed for Maintenance, repair and operations maintenance . Government generally provides subsidies through investment s and partnership s in the initial capital costs of research and manufacturing infrastructure that cannot be matched by investor owned companies. See also Capital recovery factor CapitalCost Allowance Cost of capitalCapital expenditure capex Cost overrun Essentially CapitalCost is all the current future cash outflows which are necessary ... more details
In finance, time weightedaverage price TWAP is the average price of a Security finance security over a specified time. TWAP is also sometimes used to describe a TWAP trading strategy, that is a strategy that will attempt to execute an order and achieve the TWAP or better. A TWAP strategy underpins more sophisticated ways of buying and selling than simply executing orders en masse for example, dumping a huge number of shares in one block is likely to affect market perceptions, with an adverse effect on the price. High volume Trader finance traders use TWAP to execute their orders over a specific time so they trade to keep the price close to that which reflects the true market price. TWAP orders are a strategy of executing trades evenly over a specified time period. Volume weightedaverage price VWAP balances execution with volume. Often, a V WAP trade will buy or sell 40 of a trade in the first half of the day and then the other 60 in the second half of the day. A T WAP trade would most likely execute an even 50 50 volume in the first and second half of the day. See also Electronic trading Category Financial markets econometrics stub ... more details
Unreferenced date April 2010 In finance, volume weightedaverage price VWAP is the ratio of the value traded to total volume traded over a particular time horizon usually one day . It is a measure of the average price a stock traded at over the trading horizon. VWAP is often used as a trading Benchmarking benchmark by investors who aim to be as passive as possible in their execution. Many pension fund s, and some mutual fund s, fall into this category. The aim of using a VWAP trading target is to ensure that the trader finance trader executing the order does so in line with volume on the market. It is sometimes argued By whom date April 2010 that such execution reduces transaction costs by minimizing market impact the adverse effect of a trader s activities on the price of a Security finance security . VWAP can be measured between any two points in time but is displayed as the one corresponding to elapsed time during the trading day by information provider. VWAP is often used in algorithmic trading . Indeed, a broker may guarantee execution of an order at the VWAP and have a computer program enter the orders into the market in order to earn the trader s Commission remuneration commission and create P&L . This is called a guaranteed VWAP execution. The broker can also trade in a best effort way and answer to the client the realized price. This is called a VWAP target execution it incurs more dispersion in the answered price compared to the VWAP price for the client but a lower received paid commission. Trading algorithms that use VWAP as a target belong to a class of algorithms known as volume participation algorithms . Formula VWAP is calculated using the following formula math P mathrm VWAP frac sum j P j cdot Q j sum j Q j , math where math P mathrm VWAP math Volume WeightedAverage Price math P j math price of trade j math Q j math quantity of trade j math j math each ... cross trades. See also Electronic trading Time weightedaverage price External links http www.asiaetrading.com ... more details
In finance , the weightedaverage life WAL of an amortizing loan or amortizing bond, also called average life , ref name Ref http www.pimco.com LeftNav BondResources Glossary PIMCO glossary ref ref name Ref a http www.bloomberg.com invest glossary bfglosa.htm Bloomberg Glossary ref ref name Ref b Harv Fabozzi 2000 loc http books.google.com books?id jup2d1pEyWcC&pg PA588&dq 22weighted average life 22 pp. 588 589 ref is the weightedaverage of the times of the principal repayments it s the average time until a dollar of principal is repaid. In a formula, ref name Ref c Harv Fabozzi 2000 loc http books.google.com books?id jup2d1pEyWcC&pg PA616&dq 22weighted average life 22 pp. 616 617 ref math text ... Bond duration is the weightedaverage of the times of the present value s of all the cash flows not distinguishing between principal and interest , while WAL is the weightedaverage of the actual ... the WAL mean more than they reduce the median. WeightedAverage Maturity WAM WAM is an average across several loans , and applied to pools of mortgages, instead of an average of principal repayments for a single ... msamg msimintl docs en US common comm 200907 mm update.pdf WeightedAverage Life Enhancing ... with equal payments, the WAL will be higher than the duration, as the early payments are weighted towards interest, while the later payments are weighted towards principal, and further, taking present ... view def.asp?param AVERAGELIFE Average Life in http www.msrb.org msrb1 glossary default.asp MSRB .... Instead, one should use bond duration , which takes the average of all cash flows. Examples On a 30 ... be understood intuitively as A dollar of principal is outstanding for on average the WAL, hence the interest on an average dollar is math text WAL times r math , and now one multiplies by the principal ... math . Both of these quantities are the time weighted total principal of the bond in periods , and they are simply ... WAL will be an estimate, which may be called simulated average life and based on an option adjusted ... more details
ending inventory cost. See also Multicol Inventory Accounting for inventory Inventory Weightedaveragecost Moving averagecost Multicol break FIFO and LIFO accounting Specific identification Income ...Unreferenced date December 2009 Accounting Under the averagecost method , it is assumed that the cost of inventory is based on the averagecost of the goods available for sale during the period. The averagecost is computed by dividing the total cost of goods available for sale by the total units available for sale. This gives a weightedaverage unit cost that is applied to the units in the ending inventory. There are two commonly used averagecost methods Simple Weightedaveragecost method and moving averagecost method. WeightedAverageCostWeightedAverageCost is a method of calculating Ending Inventory cost. It is also known as AVCO It takes Cost of Goods Available for Sale and divides it by the total amount of goods from Beginning Inventory and Purchase s. This gives a WeightedAverageCost per Unit . A physical count is then performed on the ending inventory to determine the amount of goods left. Finally, this amount is multiplied by WeightedAverageCost per Unit to give an estimate of ending inventory cost. Moving AverageCost Moving Average Unit Cost is a method of calculating Ending Inventory cost. Assume that both Beginning Inventory and beginning inventory cost are known. From them the Cost per Unit of Beginning Inventory can be calculated. During the year, multiple purchase s were made. Each time, purchase costs are added to beginning inventory cost to get Cost ... Current Goods Available for Sale . After each purchase, Cost of Current Inventory is divided by Current Goods Available for Sale to get Current Cost per Unit on Goods . Also during the year, multiple ..., and the Cost of Current Inventory is deducted by the amount of goods sold times the latest before this sale Current Cost per Unit on Goods. This deducted amount is added to Cost of Goods Sold . At the end ... more details
Orphan date February 2009 A costweighted activity index is a technique for measuring the changes in the output of an organisation over time. It is used particularly for Government departments and other bodies that do not operate in a market, hence normal means of measuring output cannot be used. Following work by Michael Baxter and Alwyn Pritchard , the technique is being used increasingly by the Office for National Statistics in the United Kingdom , the Australian Bureau of Statistics and many other statistical offices, in preference to the traditional method of equating output to input i.e. number of staff employed plus volume of input . The traditional method is much easier to use, but has the disadvantage that it cannot measure changes in efficiency. The procedure is as follows the activities of the organisation are divided into homogeneous categories. The cost of each category and the level of activity in the base year are determined. The level of activity is then measured in a subsequent year, and the percentage changes are weighted together by the costs in the base year to get an overall percentage change in output. The mathematics of the calculation are identical to those for calculating any index number, such as a price index . Example Consider a prison, which in 2000 housed 20 low risk, 30 medium risk and 10 high risk prisoners, or 60 prisoners in total. The three categories are considered homogeneous, in that the output of housing one low risk prisoner is the same as housing another. The total costs in 2000 are 20,000 for low risk, 45,000 for medium risk and 25,000 for high risk prisoners, or 90,000 in total. In 2005, there are 22, 27 and 15 prisoners in these categories, so the changes are 10 , 10 and 50 . There are 64 prisoners in total, an increase of about 6.7 . The weighted percentage change is 20,000x10 45,000x 10 25,000 50 90,000 11.1 . This is greater ... has risen. This is a Laspeyres index , because it is base weighted. It would be possible to use ... more details
Average variable cost AVC is an economics term that refers to a firm s variable cost s labor, electricity, etc. divided by the quantity Q of output produced. Variable costs are those costs which vary with output. math text AVC frac text VC text Q math Where VC Variable Cost AVC Average Variable Cost Q Quantity of Output Produced Average variable cost plus average fixed cost equals average total cost math text AVC text AFC text ATC . math Short run average variable cost equals the wage rate, w , divided by the average product of labor, AP sub L sub See also Variable cost Fixed costCost curve Category Costs economics stub ... more details
Average fixed cost AFC is an economics term that refers to fixed cost s of production FC divided by the quantity Q of output produced. math AFC frac FC Q math Average fixed cost is a per unit of output measure of fixed costs. As the total number of goods produced increases, the average fixed cost decreases because the same amount of fixed costs is being spread over a larger number of units of output. Average variable cost plus average fixed cost equals averagecostaverage total cost . math ATC AVC AFC math See also Fixed cost Variable costCost curve Category Costs Category Production economics economics stub ... more details
Orphan date February 2009 Averagecost pricing is one of the ways government regulate a monopoly market. Monopolists tend to produce less than the optimal quantity pushing the prices up. Government may use averagecost pricing as a tool to regulate prices monopolists may charge. Averagecost pricing forces monopolists to reduce price to where the firm s Averagecostaverage total cost ATC intersects the market demand curve . The effect on the market would be Increase production and decrease price. Increase social welfare efficient resource allocation . Generate a normal profit for monopolist Price ATC ref http ideas.repec.org a aea aecrev v73y1983i2p189 93.html RePEc Marginal vs. AverageCost Pricing in the Presence of a Public Monopoly , American Economic Review v.73 189 93 1983 . ref References reflist External links http www.investopedia.com terms a averagecost pricing rule.asp AverageCost Pricing Rule on Investopedia http www.communitylab.org ?q node 108 Chen, Yan . http www.si.umich.edu yanchen papers chen srl.pdf An Experimental Study of the Serial and AverageCost Pricing Mechanisms , Journal of Public Economics 2003 . http papers.ssrn.com sol3 papers.cfm?abstract id 946177 Marginal Cost versus AverageCost Pricing with Climatic Shocks in Senegal A Dynamic Computable General Equilibrium Model Applied to Water by ANNE BRIAND, University of Rouen, November 2006 http worthwhile.typepad.com worthwhile canadian initi 2006 08 averagecost pr.html Averagecost pricing at Statistics Canada Category Monopoly economics ... more details
In unemployment insurance UI in the United States , Average High Cost Multiple AHCM is a commonly used actuarial measure of Unemployment Trust Fund adequacy. Technically, AHCM is defined as Reserve Ratio i.e., the balance of UI trust fund expressed as of total wage s paid in covered employment divided by averagecost rate of 3 high cost years in the state s recent history typically 20 years or a period covering 3 recessions, whichever is longer . In this definition, cost rate for any duration of time is defined as benefit cost divided by total wages paid in covered employment for the same duration, usually expressed in . Intuitively, the AHCM provides an estimate of the length of time measured in number of years the current reserve in the trust fund without taking into account future revenue income can pay out benefits at historically high payout rate. For example, if a state s AHCM is 1.0 immediately prior to a recession, and if the incoming recession is of the average magnitude of the last three recessions, then the state is expected to be able to pay 1 year of UI benefits using the money already in its trust fund alone. If the AHCM is 0.5, then the state is expected to be able to pay out 6 months of benefits when the same recession hits. Example As of December 31 of 2009, a state has a balance of 500 million in its UI trust fund. The total wages of its covered employment is 40 billion. The reserve ratio for this state on this day is 500 40000 1.25 . Historically, the state experienced 3 highest cost years in 1991, 2002, and 2009, when the cost rates were 1.50, 1.80, and 3.00, respectively. The average high cost rate for this state is therefore 2.10. Thus, the average high cost multiple is 1.25 2.10 0.595. U.S. Average High Cost Multiple The following chart shows U.S. Average High Cost Multiple from 1957 to 2009. File USAHCM.jpg See also Unemployment Trust Fund External links http workforcesecurity.doleta.gov unemploy content data.asp UI Data Summary http workforcesecurity.doleta.gov ... more details
Multiple issues orphan August 2008 unreferenced November 2006 Marginal Cost of Capital MCC Schedule is a graph that relates the firm s Weighted mean weightedaveragecost of each dollar of capital to the total amount of new capital raised. The WACC is the minimum rate of return allowable, and still meeting financial obligationts such as debt, interest payments, dividends etc... Therefore, the WACC averages the required returns from all long term financing sources Debt and Equity . the WACC is based on cash flow s, which are after tax. By the same notion then, the WACC should be calculated on an after tax basis. WACC Components DEBT Advantages br usually cheaper than equity br no loss of control voting rights br upper limit is placed on share of profits br floatation costs are typically lower than equity br interest expense is Tax deduction tax deductible Disadvantages br legally obliged to make payments no matter how tight the funds on hand are br in the case of bonds, full face value comes due at one time br taking on more debt taking on more financial risk more Systemic risk systematic risk requiring higher cash flows br br The firm s debt component is stated as k sub d sub and since there is a tax benefit from interest payments then the after tax WACC component is k sub d sub 1 T where T is the Tax tax rate . br Equity Advantages no legal obligation to pay depends on class of shares br no maturity br lower financial risk br it could be cheaper than debt, with good prospects of profitability Disavdantages new equity dilutes current ownership share of profits and Suffrage voting rights control br cost of underwriting equity is much higher than debt br too much equity target for a Leveraged buyout leveraged buy out by another firm br no tax shield , dividends are not tax deductible, and may exhibit double taxation br br Cost of new equity should be the adjusted cost for any ..., IOS schedule and demonstration, MCC IOS schedules DEFAULTSORT Marginal Cost Of Capital Schedule ... more details
Unreferenced stub auto yes date December 2009 The opportunity cost of capital is the expected rate of return forgone by bypassing of other potential investment activities for a given capital economics capital . It is a rate of return that investors could earn in financial markets. See also Opportunity costCost of capital DEFAULTSORT Opportunity Cost Of Capital Category Economic methodology Category Costs Category Capital Econ stub ... more details
Unreferenced date August 2010 Orphan date May 2008 The capitalcost tax factor CCTF is a calculated value summarising the benefit in future tax savings due to CapitalCost Allowance CCA in Canada. CCTF allows analysts to take these benefits into account when calculating the asset valuation present value of an asset. The CCTF is a constant, that is a function of the CapitalCost Allowance rate, the interest rate , and the tax rate . CCTF allows the analyst to find the present value independently of the initial cost of the asset. Clarify date August 2011 There are two ways to calculate CCTF. The older method was replaced on November 13, 1981, but is still used for assests purchased before that date. DEFAULTSORT CapitalCost Tax Factor Category Taxation in Canada Category Capital gains taxes Tax stub ... more details
Average Per Bit Delivery Cost , or APBDC, is one relatively common method by which Internet Service Providers calculate their cost of goods sold . ref http www.pch.net resources tutorials average per bit delivery cost APBDC Tutorial v09.txt Average Per Bit Delivery Costs ref Concept Average Per Bit Delivery Cost averages the cost of however many bits were actually sent or received across a link with the actual cost of operation of the link. This is contrasted principally with flat rate and 95th percentile functions, which are typically used for billing rather than cost accounting. In typical use, APBDCs of individual links or components of an operating network are compared with the APBDC of the whole, in order to evaluate the efficiency of the components, and to track improvements in effectiveness. ref http www.bgp4.as internet exchanges IXPs reduce the portion of an ISP s traffic which must be delivered via their upstream transit providers, thereby reducing the Average Per Bit Delivery Cost of their service. ref High APBDC may reflect either a high cost, or a low utilization, either of which is detrimental to the price performance of the network as a whole, and indicates an area that needs attention and improvement. Besides reduction in costs of existing network components, use of already amortized or less expensive components, and transmission of greater volumes of traffic, fundamental or revolutionary changes to the topology of a network, such as the substitution of peering derived bandwidth for purchased transit, often have substantial impacts on a network s APBDC. ref http www.connectedcaribbean.com download CTU 20Bulletin 20On 20Proliferation 20of 20Caribbean 20Internet 20Exchange 20Points.pdf CTU Bulletin on the Proliferation of Internet Exchange Points in the Caribbean ... average per bit delivery cost APBDC Tutorial v09.txt Brief tutorial on the calculation of Average Per Bit Delivery Costs DEFAULTSORT Average Per Bit Delivery Cost Category Telecommunications economics ... more details
CapitalCost Allowance CCA is effectively the means by which Taxation in Canada Canadian businesses may claim depreciation expense . Depreciable items are deemed to belong to different classes which depreciate at different rates and are subject to different rules. For the most common classes the value of all assets belonging to that class are accumulated in a pool, and the designated percentage for that class may be claimed on the balance in that class at the end of the tax ation year. To prevent a flurry of tax motivated purchases in the dying days of a taxation year only half of value of net additions to the class are considered in the year for purposes of the current year s calculation. Some examples of asset classes are, class wikitable Class Rate Description Class 1 4 Buildings acquired after 1987 Class 3 5 Building acquired before 1987 Class 8 20 Assets not included in other classes Class 9 25 Aircrafts Class 10 30 Cars costing less than 30 000 Class 12 100 no half year rule Small equipment and tools costing less than 500 Class 13 Original lease period plus one renewal period Minimum 5 years and Maximum 40 years Improvements made to leased premises Class 14 Length of life of property no half year rule Franchising Franchises , Concessions, Patent s, and Licences Class 17 8 Parking lots Class 43 30 Machinery and equipment used for production Class 44 Patents acquired after April 26, 1993 Class 45 45 Computer equipment and systems software acquired after March 22, 2004 and before March 19, 2007 Class 46 30 Database and network equipment acquired after March 22, 2004 Class 50 55 Computer equipment and systems software acquired after March 18, 2007 Class 52 100 no half year ... States for depreciation there is no penalty for failing to claim CapitalCost Allowance. Where a taxpayer ... 5th Supp. See Also MACRS Modified Accelerated Cost Recovery System Taxation in the United States U.S. ... Taxation in Canada Category Capital gains taxes tax stub ... more details
In mathematics , an average , or measure of central tendency , ref In statistics , the term central tendency ..., the data set is a list of numbers. The average of a list of numbers is a single number intended to typify ... be used. If the numbers are not the same, the average is calculated by combining the numbers from the list in a specific way and computing a single number as being the average of the list. Many different ... by John Bibby 1974 Axiomatisations of the average and a further generalization of monotonic sequences ... greater than the maximum 8. If we increase the number of terms in the list for which we want an average .... Example Geometric mean of 2 and 8 is math GM sqrt 2 cdot 8 4. math Average Percentage Return and CAGR Main Compound annual growth rate The average percentage return is a type of average used in finance ... return in the first year is 10 and the return in the second year is 60 , then the average percentage ... makes no difference the average percentage returns of 60 and 10 is the same result as that for 10 ... years for which the return is 13 . The average percentage return for the combined period is the single ... 1 0.13 sup 2.5 sup 1 R sup 0.5 2.5 sup , giving an average percentage return R of 0.0600 or 6.00 . Harmonic ... the average speed for a number of fixed distance trips. For example, if the speed for going from point A to B was 60 km h, and the speed for returning from B to A was 40 km h, then the average ... x i p math Weighted mean math frac sum i 1 n w i x i sum i 1 n w i frac w 1 x 1 w 2 x 2 cdots w n x ... central tendency L sup 1 sup average absolute deviation median L sup 2 sup standard deviation ... the two central points of a discrete distribution minimizes average absolute deviation. The dispersion ... can create one s own average metric using the generalized f mean generalized f mean math y f 1 left ... for defining an average takes any function g x sub 1 sub , x sub 2 sub , ..., x ... in each argument, and symmetric invariant under permutation of the arguments . The average y ... more details
Calculus , ISBN 0977117014, 1980. ref See also Average Mean Distance weighted estimator Summary statistics Central tendency Weight function Weighted least squares Weightedaveragecost of capital ...The weighted mean is similar to an arithmetic mean the most common type of average , where instead of each of the data points contributing equally to the final average, some data points contribute more than others. The notion of weighted mean plays a role in descriptive statistics and also occurs in a more general form in several other areas of mathematics. If all the weights are equal, then the weighted mean is the same as the arithmetic mean . While weighted means generally behave in a similar ... in Simpson s paradox . The term weightedaverage usually refers to a weighted arithmetic mean, but weighted versions of other means can also be calculated, such as the weighted geometric mean and the weighted ... the class means by the number of students in each class using a weighted mean of the class means math bar x frac 20 80 30 90 20 30 86. math Thus, the weighted mean makes it possible to find the average ... is sufficiently small. Weighted averages of functions The concept of weightedaverage can be extended ... average su Weighted mean fi Painotettu keskiarvo ta tr A rl kl ortalama uk ..., 89, 89, 90, 90, 90, 90, 91, 91, 91, 92, 92, 93, 93, 94, 95, 96, 97, 98, 99 The straight average for the morning class is 80 and the straight average of the afternoon class is 90. The straight average ... in number of students in each class, and the value of 85 does not reflect the average student grade independent of class . The average student grade can be obtained by averaging all the grades, without .... Mathematical definition Formally, the weighted mean of a non empty set of data math x 1, x ... more to the weighted mean than do elements with a low weight. The weights cannot be negative. Some ... 1 math . For such normalized weights the weighted mean is simply math bar x sum i 1 n w i x i math . The common ... more details
In statistics , there are many applications of weighting Weighted mean Weighted harmonic mean Weighted harmonic mean Weighted harmonic mean Weighted geometric mean Least squares Weighted least squares Weighted least squares disambiguation ... more details
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