Review period

Formal

The base time period over which monthly benefits from an investment proposal are counted and valued against the original cost of the investment. Used specifically for IRR, NPV, and VAE calculations they are a critical input to the process and in the ultimate determination of the viability of the project.

Real-world Example

A vendor agrees to review pricing with a customer every 12 months - the review period, a set interval at which contract terms, benefits, or performance are formally reassessed.