What does payback period mean?
Definitions for payback period
pay·back pe·ri·od
This dictionary definitions page includes all the possible meanings, example usage and translations of the word payback period.
Did you actually mean passe-partout or push forward?
Wikidata
Payback period
Payback period in capital budgeting refers to the period of time required to recoup the funds expended in an investment, or to reach the break-even point. For example, a $1000 investment which returned $500 per year would have a two-year payback period. The time value of money is not taken into account. Payback period intuitively measures how long something takes to "pay for itself." All else being equal, shorter payback periods are preferable to longer payback periods. Payback period is popular due to its ease of use despite the recognized limitations described below. The term is also widely used in other types of investment areas, often with respect to energy efficiency technologies, maintenance, upgrades, or other changes. For example, a compact fluorescent light bulb may be described as having a payback period of a certain number of years or operating hours, assuming certain costs. Here, the return to the investment consists of reduced operating costs. Although primarily a financial term, the concept of a payback period is occasionally extended to other uses, such as energy payback period; these other terms may not be standardized or widely used.
Numerology
Chaldean Numerology
The numerical value of payback period in Chaldean Numerology is: 9
Pythagorean Numerology
The numerical value of payback period in Pythagorean Numerology is: 9
Translations for payback period
From our Multilingual Translation Dictionary
- ادائیگی کی مدتUrdu
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"payback period." Definitions.net. STANDS4 LLC, 2024. Web. 26 Apr. 2024. <https://www.definitions.net/definition/payback+period>.
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