ASTM E1121-15 PDF

Scope: 5.1 The payback method is part of a family of economic evaluation methods that provide measures of economic performance of an investment. Included in this family of evaluation methods are life-cycle costing, benefit-to-cost and savings-to-investment ratios, net benefits, and internal rates of return.

5.2 The payback method accounts for all monetary values associated with an investment up to the time at which cumulative net benefits, discounted to present value, just pay off initial investment costs.

5.3 Use the method to find if a project recovers its investment cost and other accrued costs within its service life or within a specified maximum acceptable payback period (MAPP) less than its service life. It is important to note that the decision to use the payback method should be made with care. (See Section 11 on Limitations.)

1.1 This practice provides a recommended procedure for calculating and applying the payback method in evaluating building designs and building systems.

ASTM E1121-15 Referenced Document

ASTM E1057 Standard Practice for Measuring Internal Rate of Return and Adjusted Internal Rate of Return for Investments in Buildings and Building Systems
ASTM E1074 Standard Practice for Measuring Net Benefits for Investments in Buildings and Building Systems
ASTM E1185 Standard Guide for Selecting Economic Methods for Evaluating Investments in Buildings and Building Systems
ASTM E1369 Standard Guide for Selecting Techniques for Treating Uncertainty and Risk in the Economic Evaluation of Buildings and Building Systems
ASTM E631 Standard Terminology of Building Constructions
ASTM E833 Standard Terminology of Building Economics*， 2024-04-20 Update
ASTM E917 Standard Practice for Measuring Life-Cycle Costs of Buildings and Building Systems
ASTM E964 Standard Practice for Measuring Benefit-to-Cost and Savings-to-Investment Ratios for Buildings and Building Systems

2020 ASTM E1121-15(2020)e1 Standard Practice for Measuring Payback for Investments in Buildings and Building Systems
2015 ASTM E1121-15 Standard Practice for Measuring Payback for Investments in Buildings and Building Systems
2012 ASTM E1121-12 Standard Practice for Measuring Payback for Investments in Buildings and Building Systems
2007 ASTM E1121-07e1 Standard Practice for Measuring Payback for Investments in Buildings and Building Systems
2007 ASTM E1121-07 Standard Practice for Measuring Payback for Investments in Buildings and Building Systems
2002 ASTM E1121-02 Standard Practice for Measuring Payback for Investments in Buildings and Building Systems
1998 ASTM E1121-98 Standard Practice for Measuring Payback for Investments in Buildings and Building Systems