Does anyone know why the PPF is computed differently for Homan and the Static
Method I.
The PPF for Homan is :
(1+(Avg annual increment/Fitted avg rel)*(Tempering Factor))^(Trend Period)
The PPF for Static Method I is:
((Fitted value one yr beyond proposed eff date/
Fitted value at midpt of curr period)*(tempering factor))+
((1-tempering factor)*1.0))
Thanks,
Faith