TECHNICAL NOTE ― THE FORMULA APPROXIMATION FOR THE OPTIMAL CYCLE TIME OF THE NET PRESENT VALUE

摘要

This article proposes the best bounds for e~(-x)-1+x subject to some constraints. With these bounds for e~(-x)-1+x, the better bounds for the optimal cycle time can be developed such that the bisection algorithm locates the optimal cycle time more accurately. Finally, an example is given to illustrate all results obtained by this article.