payback period


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payback period,

n the length of time required for the net revenues of an investment to return the cost of the investment.
References in periodicals archive ?
Caption: Figure 4: Simple payback period for split unit at SASO test conditions.
Generally, the resulting payback period should not be more than two to three years but may be longer for businesses or projects exhibiting significant growth.
Comment on the stable price assumption underlying the IRR and payback period results for the potential UHDTV project.
In this example, the payback period calculates to 28 months.
The software presents clear and compelling data for the user, including estimated statistics on operating expenses, savings, payback periods, ROI and energy usage.
If you expect a 20-percent return on new investments, a payback period of five years or less suggests a go-forward decision.
The total monetary values [TABULAR DATA FOR TABLE IV OMITTED] calculated under these headings are used in the payback period calculation, for which the simplified formula is: payback period = (initial investment costs)/(yearly benefits - yearly costs):
Surveys also report a higher reliance in Japan on the payback period in evaluating capital investments.
The cash payback period is defined as the period of time required to recover the amount invested.
Based on cost, revenue, deployment and penetration assumptions offered by AT&T itself, the author conducted a payback period analysis of the Lightspeed initiative.
In the New York area, lighting upgrades generally have a payback period of less than one year.
Dividends from funding investments like this could have a 10-to 15-week payback period.