PRP - A DISCOUNTED CASH FLOW PROGRAM FOR CALCULATING THE PRODUCTION COST (PRODUCT PRICE) OF THE PRODUCT FROM A PROCESS PLANT

摘要

A computer program is described that calculates the cost of the product from a process facility when the capital investment, operating costs, interest rates, tax rates, by-product values, and similar related information are supplied by the user. The program uses a procedure that is mathematically consistent with the discounted cash flow method, and produces a table showing the cash flow history of the project. Consider-able flexibility is afforded in the choice of capital structure, depre-ciation method, and the handling of taxes. Provision is made for parametric studies in which the cost of the feedstock and the annual after-tax rate of return on equity are varied automatically over any desired range.