Economic Analysis in Equipment Replacement Problems,
Abstract
Methods of computing the most economical replacement age for two classes of equipment, intermittently and continuously operating, are developed. Mathematical models for single equipment and joint equipment replacement are developed for both classes considered. For the classes of equipments considered, undiscounted, discounted, and stochastic models are exhibited along with illustrative examples. A discussion of the techniques developed that identifies the information required for application is presented along with useful approximations that can be used to determine optimal policy alternatives quickly and easily. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Oct 01, 1970
- Accession Number
- AD0722849
Entities
People
- B. D. Sivazlian
Organizations
- Lockheed Martin