Terms and Definitions
British Thermal Unit (a standard unit of energy)
BTU
Diameter
DIA
Gross Square Feet (area). Equivalent to Square Feet
GSF
Gross Square Yards (area). Equivalent to Square Yards
GSY
Horsepower
HP
Linear Feet (length)
LF
The difference between Useful Life and Remaining Useful Life. Note that this is not necessarily equivalent to the chronological age of the component. The value of the deterioration of the Reserve Components. This is the fraction of life "used up" of each component multiplied by its estimated Current Replacement. While calculated for each component, it is summed together for an association total. Cost factors are adjusted for inflation at the rate defined in the Executive Summary and compounded annually. These increasing costs can be seen as you follow the recurring cycles of a component on the "30-yr Income/Expense Detail" table. Interest earnings on Reserve Funds are calculated using the average balance for the year (taking into account income and expenses through the year) and compounded monthly using the rate defined in the Executive Summary. Annual interest earning assumption appears in the Executive Summary. The ratio, at a particular point in time (the first day of the Fiscal Year), of the actual (or projected) Reserve Balance to the Fully Funded Balance, expressed as a percentage. The estimated time, in years, that a common area component can be expected to continue to serve its intended function. The estimated time, in years, that a common area component can be expected to serve its intended function.
Effective Age
Fully Funded Balance (FFB)
Inflation
Interest
Percent Funded
Remaining Useful Life (RUL)
Useful Life (UL)
Association Reserves, #6510-0
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7/29/2022
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