Download e-book for kindle: Economics of Fire Protection by Ganapathy Ramachandran
By Ganapathy Ramachandran
This crucial new ebook, the 1st of its type within the fireplace safeguard box, discusses the industrial difficulties confronted via decision-makers within the parts of fireplace protection and fireplace precautions. the writer considers the theoretical elements of cost-benefit research and different suitable fiscal issues of sensible purposes to fireside security structures. transparent examples are incorporated to demonstrate those thoughts in motion. The paintings covers: * the functionality and effectiveness of passive hearth safety measures equivalent to structural hearth resistance and technique of get away amenities, and lively platforms equivalent to sprinklers and detectors * the significance of training for larger knowing and implementation of fireplace prevention via exposure campaigns and fireplace brigade operations * cost-benefit research of fireside safeguard measures and their combos, considering trade-offs among those measures. The e-book is key studying for specialists and teachers in building administration, economics and fireplace security, in addition to for coverage and danger administration execs.
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Extra resources for Economics of Fire Protection
For example, if two projects appear to be equally profitable (as evaluated by a sounder technique than PP), it may be that the project with the shorter PP will be preferable, given that time risks and liquidity are important. The PP method discussed above can be termed the ‘crude payback period’ in order to distinguish it from the payback period discussed previously (pp. 26–8), which is based on the net present value of discounted benefits. This latter PP also suffers from the disadvantages discussed in this section with regard to the crude PP.
For a specified period of years, the NPV decreases with increasing discount rate. Internal rate of return As discussed in the previous section, the NPV at 10 per cent discount rate is positive, but it becomes negative at 12 per cent. For a specified period of years, the NPV will be zero at a particular discount rate defined as the internal rate of return (IRR) or the marginal efficiency of capital. 3. In this figure, a straight line has been drawn connecting the two points representing the two discount rates (10 per cent and 12 per cent) and their corresponding NPVs.
3. In this figure, a straight line has been drawn connecting the two points representing the two discount rates (10 per cent and 12 per cent) and their corresponding NPVs. 4. 4 per cent. To find the IRR, the NPVs should be calculated at several discount rates, including at least one negative NPV. Then, inter-polation may be used to find the discount rate at which the NPV is approximately zero. A more accurate value of the IRR may be obtained by using a computer program. As discussed above, the internal rate of return is the annual rate at which invested initial capital is recovered through benefits accruing over a given period of years.
Economics of Fire Protection by Ganapathy Ramachandran