Modern Finance PaybackPeriod

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PaybackPeriod

Returns when the running total of flows turns positive, or empty if it never does.

Syntax

PaybackPeriod( flows( ) )

Examples

#import "std/money"
using money

'' When the cumulative cash flow first turns positive, INTERPOLATED
'' inside the crossing period.
''
'' IT RETURNS AN Optional, not a Result: a project that never pays back
'' has NO payback period, and that is the FINDING rather than a failure.
dim as Decimal f( 0 to 4 ) = { DecimalParse( "-1000" ).Value( ), _
                               DecimalParse( "300" ).Value( ), _
                               DecimalParse( "400" ).Value( ), _
                               DecimalParse( "500" ).Value( ), _
                               DecimalParse( "200" ).Value( ) }

print PaybackPeriod( f( ) ).HasValue( )  '' true
print PaybackPeriod( f( ) ).Value( )     '' 2.6

'' A project whose inflows never cover the outlay returns ABSENCE.
dim as Decimal never_( 0 to 3 ) = { DecimalParse( "-1000" ).Value( ), _
                                    DecimalFromInt( 100 ), DecimalFromInt( 100 ), _
                                    DecimalFromInt( 100 ) }
print PaybackPeriod( never_( ) ).HasValue( )             '' false

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Library: Finance
Category: Finance
Documented under: Nothing Becomes A Keyword
Source: pkg/std/money/fincash.tiko in the tiko repository.