discount {decisionSupport} | R Documentation |
Discount time series for Net Present Value (NPV) calculation
Description
This function discounts values along a time series, applying the specified discount rate. It can also calculate the Net Present Value (NPV), which is the sum of these discounted values.
Usage
discount(x, discount_rate, calculate_NPV = FALSE)
Arguments
x |
numeric vector, typically containing time series data of costs or benefits |
discount_rate |
numeric; the discount rate (in percent), expressing the time preference of whoever is evaluating these data economically |
calculate_NPV |
boolean; if set to TRUE, the discounted time values are summed, otherwise, they are returned as a vector |
Value
If calculate_NPV=TRUE, the function returns the Net Present Value (NPV) as a numeric value. If calculate_NPV=FALSE, the time-discounted values are returned as a numeric vector.
Author(s)
Eike Luedeling
Examples
x<-c(3,6,2,5,4,3,9,0,110)
discount_rate<-5
discount(x,discount_rate)
discount(x,discount_rate,calculate_NPV=TRUE)
[Package decisionSupport version 1.114 Index]