Capitalized value
When a uniform series is to continue indefinitely, as when a service is to be provided forever, its present value is called its capitalized value.

Capitalized costs:  The present value of annual costs is called the capitalized cost.

Generally P is needed at present to meet a payment of R every year forever with an interest rate of i.

                                         P = R
     i

Example, how much money (i.e., what is the capitalized cost) is needed to meet an annual payment of $600, when the interest rate is 6 percent?

         P = $600/0.06 = $10,000