ABBREVIATIONS AND NOTATION
Amort. = Amortization.
Ann. = Annual.
Beg. = Beginning.
Eq. = Equal.
Payt. = Payment.
A = the annual replacement requirement for each dollar of capital invested
annually in a growing plant.
Am = the accrued amortization in m years when the annual amortization in-
stallment is @ and the interest rate is 7.
A’ = the amount of $1.00 at compound interest at the end of the nth year
at the interest rate 7.
A” = the amount of an annuity of $1.00 paid at the end of each year at com-
pound interest at the interest rate i.
an = the amortization installment which must be invested annually, in
order to amount at compound interest to $100 in n years.
a,’ = the annual installment which at compound interest at the rate 7 will
amount to $1.00 in 7 years.
an!’ = same as an’ when annuity is applied at the beginning instead of at end
of year.
an'"’ = the annuity receivable at the end of each year which $1.00 will buy
for n years.
am = the current amortization in the mth year, i.e., the amortization incre-
ment a plus interest on the amortization fund already accumulated.
It is the amortization installment which in the remaining years of
life will retire the remaining capital.
C = cost of replacing a group of articles.
¢ = the annual renewal requirement for a group of articles whose cost of
replacement is C.
e = expectation, that is the probable remaining years of usefulness of any
article whose probable life new was » years.
¢ = relative expectancy of an article whose probable life new is 10 years
when compared with an article m years old whose probable life new
is n years.
g = the average annual investment in additions to a plant.
i = the rate of interest per year expressed fractionally — thus for 6 per
cent; 7 = 0.00.
m = a number of years.
m’ = relative age of an article whose probable life new is 10 years, when
compared with an article m years old, whose probable life new is #n
years.
Note: Other symbols are explained in the notes which precede the several tables.
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