Economic Foundations of Energy Investments - Green Energy and Efficiency: An Economic Perspective - page 76

Table 5 Parameters for 3:2:1
crack spread

Parameter Value

kS m
kþk

23.4233

k þ k

3.0149

c 2.9776

/ 0.3107

Fig. 8 3:2:1 Crack spread 08/23/2013

5 Marked Based Valuation Methods and Examples

There are various methods for valuing investments, including the NPV, the IRR, the
hurdle rate, the payback period, sensitivity analysis, the earning multiple approach,
the discounted payback period and ROA. The use of these methods in business is
analyzed by Graham and Harvey [ 15 ]. This section presents an introduction with
examples of market based methods.