• 197 views | 3 messages Discussion: LEAP
    Topic: Discount RateSubscribe | Previous | Next
  • Anthony Tang 9/11/2023

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    Hi. Does the annual production costs already cover the discount rate? I would like to calculate its Net Present Value but if discount rate is already considered in the simulations, then a simple summation will do.

    Thanks.
  • Charlie Heaps 9/11/2023
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    Sorry - I do not understand the question. What do you mean by "cover"?
  • Anthony Tang 9/11/2023
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    Hi. Apologies. I meant if the discount rate was used in the calculation of the annual production costs?

    I have to calculate for the present value of the production costs but I am not sure if should I simply get its sum due to the discount rate in LEAP simulation.

    Thank you.