Terminalwerts

Terminalwerts is a term used in German-language discussions of decision theory, finance, and computer science to denote terminal values or boundary payoffs in finite-horizon models. In standard German, the corresponding plural is Terminalwerte; Terminalwerts is encountered mainly in bilingual texts, cross-linguistic contexts, or as a proper noun in project names.

Etymology: The compound derives from Terminal (end) and Wert (value). The possessive-like form -s appears in some mixed-language writings, but is not standard in native German grammar.

Usage in mathematics and computer science: In dynamic programming and reinforcement learning, Terminalwerts represent the value assigned to terminal states at the end of a horizon. They act as boundary conditions for backward induction. In algorithms, the recursion often uses V_T(s) = Terminalwerts(s).

Usage in economics and finance: The term may be used to describe the terminal value of a project’s cash flows, the value at the end of the projection period. Models typically estimate this terminal value with a perpetuity growth formula or a market-based multiple and discount it to present value.

Notability and scope: Terminalwerts is not a widely used standalone concept in English-language sources; it is largely subsumed under the terms Terminalwert, Terminalwerte, or terminal payoff, depending on context. The article does not describe a separate entity, organization, or person by that exact name. See also: terminal value, value function, backward induction.