Absolute physical life

Absolute Physical Life
Absolute Physical Life definition :
The period of use after which an asset has deteriorated to such an extent that it can no longer be used.
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ABSOLUTE PHYSICAL LIFE - The period of use after which an asset has deteriorated to such an extent that...
ABSOLUTE PRIORITY - the order of payment to the different classes of creditors mandated by the Bankrupt...

Absolute Physical Life - The length of time that it takes for an asset takes to become fully depreciated, at which time it provides no additional use. The absolute physical life is often taken into consideration when companies purchase assets.

Economic life can be less than absolute physical life for reasons of technological obsolescence, physical deterioration, or product life cycle. Economic order quantity (EOQ) The order quantity that minimizes total inventory costs.

The time period over which an asset's NPV is maximized. Economic life can be less than absolute physical life for reasons of technological obsolescence, physica deterioration, or product life cycle.
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Absolute form of purchasing power parity
A theory that prices of products of two different countries should be equal when measured by a common currency. Also called the "law of one price."
Absolute Physical Life ...

See also: Stock symbol, Banks, Asset pricing model, Expense, Automated clearing house