Equivalent annual damage (EqAD) annualization

The HEC-FDA annualization math alone: linearly interpolate EAD between the base and most likely future year, hold it flat to the end of the period of analysis, discount each year to present value, and divide by the annuity factor (PVIFA). Wraps the ported Alternative::ComputeEqad.

Usage

eqad(
  base_value,
  base_year,
  future_value,
  future_year,
  period_of_analysis,
  discount_rate
)

Arguments

base_value, future_value

EAD at the base / most likely future year. Analysis years are validated by the shared C++ implementation before the annualization is computed. The period must be at least two years, the future year must be later than the base year, and the inclusive span from base through future cannot exceed the period.

base_year, future_year

base and future analysis years. The future year must be later than the base year, and their inclusive span must fit within period_of_analysis.

period_of_analysis

length of the analysis period in years. Must be at least two and contain the inclusive base-to-future span.

discount_rate

annual discount rate (e.g. 0.07).

Value

The equivalent annual damage (scalar).

Examples

eqad(35000, 2023, 50000, 2072, 50, 0.07)
#> [1] 38835.31