Big Chemical Encyclopedia

Chemical substances, components, reactions, process design ...

Articles Figures Tables About

Fixed lease option

NPV (Spot Market) = 5,471 Evaluating the Fixed Lease Option... [Pg.157]

Observe that the NPV of the lease option under uncertainty is considerably less compared to when uncertainty is ignored ( 60,182 from Example 6-1). This is because the lease is a fixed decision, and Trips Logistics is unable to react to market conditions by leasing less space if demand is lower. Rigid contracts are less attractive in the presence of uncertainty. [Pg.158]

See other pages where Fixed lease option is mentioned: [Pg.68]    [Pg.139]   
See also in sourсe #XX -- [ Pg.157 ]



SEARCH



Leases

Leasing

© 2024 chempedia.info