Costing rate

A logical choice for the discount rate is the average capital cost rate, where capital includes both the equity and debt capital. The estimation of a suitable value for the discount rate is not straightforward (23), but financial speciaUsts always seem ready to provide a number. 

The total annual return rate on investment is the sum of both the capital cost rate, ie, discount rate, and the net return rate (NRR). Any given numerical value can represent a low capital cost rate and a high net return rate, or a high capital cost rate and a low net return rate. The IRR, as the discounting rate that gives a vanishing net return, cannot be related to the total return rate at appropriate discount rates because of the nonlinear nature of the discounting step. 

It is basically a schedule of duties or cost rates imposed by a government on imported or in some countries exported goods. In certain areas of the world to offset tariff duties, worldwide free-trade agreements exist. 

More recently, the bottleneck of drug research has shifted from hit-and-lead discovery to lead optimization, and more specifically to PK lead optimization. Some major reasons are (i) the imperative to reduce as much as feasible the extremely costly rate of attrition prevailing in preclinical and clinical phases, and (ii) more stringent concerns for safety. The testing of ADME properties is now done much earlier, i.e. before a decision is taken to evaluate a compound in the clinic. 

The quantity of a material used will depend on the material density and strength (design stress) and these must be taken into account when comparing material costs. Moore (1970) compares costs by calculating a cost rating factor defined by the equation ... 

His calculated cost ratings, relative to the rating for mild steel (low carbon), are shown in Table 7.6. Materials with a relatively high design stress, such as stainless and low alloy steels, can be used more efficiently than carbon steel. 

Some optimization techniques minimize the cost of product of a system or a component. The optimum total production cost rate with respect to NTU is obtained from... 

The capital cost rate tp reflects the company-specific interest rate applied to calculate capital costs on working capital like inventories and outstanding liabilities or used for net present value calculation. In case of market financed corporations, the weighted average cost of capital (WACC) is used as opportunity capital cost rate. WACC considers the mixed financing structure of a company consisting of equity and debt capital4. 

The net present value factor of a period t considers the period-independent capital cost rate WACC5 tp, the number of period days dt and the total days per year. Sub-calculations of turnover and costs applying ex-... 

Future product values are determined by several control data. The average production cost rate, the weighted average location mapping factor... 

The first step in preprocessing is the initialization of the material cost rate and product value rate with the actual values for the first period. 

Secondly, all material costs and product values for raw materials are initialized with their contract procurement offer cost rate in the procurement locations. 

Then, indexed material costs can be used to calculate indexed product value rates for all other products and locations along the value chain within the index sequence summing up material costs and average production cost rates considering location exchange rate factor ratios. 

Final material cost rates and product value rates are determined based on the indexed material cost and product value rates. Multiple indexed material cost and product value rates occur, if cyclic material flows exist in the value chain. In order to apply index-independent cost and value rates in the model for future inventory planning, the maximum value and cost rates are determined for all products, locations and periods across all value chain steps i. 

Transportation costs in the respective transportation lane currency are the sent transportation quantity multiplied with the product-specific transportation cost rate. 

Warehousing costs are determined based on average inventory quantity applying the warehousing cost rate in location-specific currency. 

Variable production costs for a process are equal to process quantity multiplied by variable production cost rate per ton. 

Change-over costs evaluate the change-overs with the related changeover cost rates. 

Procurement is also differentiated into spot and contract q f and cBpl are monthly procurement contract offer quantities and cost rates, qBslt and cfIt are the respective spot offers / p,l eIB2, teT. While contract procurement has to be executed as agreed, spot procurement is flexible defined by minimum and maximum quantity share boundaries RBy" and... 

The company decides spot procurement quantities xBsIt, the sum of contract and spot procurements forms the total procurement total quantity xBlt V / ,/ e IB1. Applying the offer cost rates leads to total procurement costs vBlt in the location currency V / ,/ e IB2. Procurement input and control data are illustrated in fig. 72. 

For example, consider the exergy costing on a boiler and turbine system shown in Figure 5.2. The cost rate balance for the boiler (control volume 1) relates the total cost of producing high-pressure steam to the total cost of the entering streams plus the cost of the boiler CB, and from Eq. (5.2) we have... 

The ratio (Exf/Exiu>) >1 due to inevitable exergy loss is in the boiler, and hence cHP > cF. Similarly, the cost rate balance for the turbine (control volume 2) is... 

The cost rate balance for the turbine, Eq. (5.5), yields the specific cost of steam exhausted by the turbine ... 

The optimum total production cost rate with respect to NTU is obtained from... 

Laren Tolbert, Georgia Institute of Technology I ve probably been an administrator too long, which involves indirect costs. You made the comment about faculty supporting all the administrators. But my administration would agree that these are real costs, which they are. William Wakeham talked about a plan in which the full costs were paid, although you never said exactly what your indirect cost rate is. 

Thirteen other factors were also considered in evaluating each option (1) capital costs, (2) operating and maintenance costs, (3) liability cost rating, (4) timeliness, (5) transferability, (6) revenues, (7) equivalent annual costs, (8) pollution prevention mode, (9) net release reduction, (10) recovery costs, (11) cost effectiveness, (12) resource utilization, and (13) effects of secondary emissions. Finally, data Ifom public opinion polling in the community near the refinery were considered in evaluating potential public support or opposition to different pollution prevention strategies. 

Liability cost rating. Each project was evaluated qualitatively for its potential to affect future remediation and catastrophic and product quality liability concerns. 

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