THE DEVELOPMENT OF AN ECONOMIC METHOD TO DETERMINE WHETHER AN EXISTING NAVAL FACILITY SHOULD BE REPLACED OR CONTINUED IN USE BY MODERNIZATION.
Abstract
An economic model was developed to aid the analyst in calculating the ultimate cost of making a decision either to replace an existing facility with a new facility or continue the existing facility in use by modernization. This model deals explicitly with the risks associated with the survival and future need of the facility. The basic model developed in this report is designed for comparing costs of alternatives. Comparison of benefits generally requires exercise of management judgment. A discussion of methods by which costs and benefits can be jointly considered is included. Also a discussion of methods of estimating the cost factors involved in the economic evaluation is presented. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Sep 01, 1966
- Accession Number
- AD0800875
Entities
People
- B. B. Gordon
- F. J. Cesario
- G. L. Robinson
- R. B. Guy
- R. N. Pesut
Organizations
- Battelle Memorial Institute