Financing

What this is

The annual cost of borrowing to buy the coaches: the purchase price times a financing rate.

Kept separate from the write-off because amortisation is what the asset costs to consume; financing is what the capital costs to raise.

The annual cost of financing the coaches.

The formula

$$C_{fin} = C_{coach,purchase} \times q_{fin} \times n$$

	Symbol	Meaning	Unit	Where it comes from
Input	C_coach,purchase	Purchase price per coach	€/coach	composition_type_purchase_coach_eur
Input	q_fin	Annual financing rate on the purchase price	fraction/year	operator_financing_quota_per
Input	n	Coaches needed for the service, incl. reserve	coaches	computed upstream
Result	C_fin	Annual financing cost	€/year	—

Feeds into: operator_fixed_total_eur

Found a mistake?

This documentation describes a model that is still being built, and some of it will be wrong. If a number looks off, a source is missing, or an explanation does not hold up, tell us — it reaches the working group with the page you were reading.