A method of calculating all costs anticipated over the life of the pavement including construction costs. Discounted cash-flow methods are generally used, typically with calculation of present worth and annualized cost. Factors that influence the results include the initial costs, assumptions about maintenance and periodic rehabilitation, pavement user and delay costs, salvage value, inflation, discount rate, and the analysis period. A sensitivity analysis is often performed to determine which variables have the most influence on costs.
An analysis of a building project's expected operating, maintenance and replacement costs. Lifetime Payment Cap For an adjustable-rate mortgage (ARM), a limit on the amount payments can increase or decrease over the life of the mortgage.