Questions from Engineering


Q: List three reasons why a replacement study might be needed.

List three reasons why a replacement study might be needed.

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Q: If a replacement study is performed and the defender is selected for

If a replacement study is performed and the defender is selected for retention for nD years, explain what should be done 1 year later if a new challenger is identified.

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Q: What is meant by the opportunity-cost approach for a replacement

What is meant by the opportunity-cost approach for a replacement study?

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Q: An engineer with Calahan Technologies calculated the AW of cost values shown

An engineer with Calahan Technologies calculated the AW of cost values shown for a presently owned machine, using estimates she obtained from the vendor and company records. Retention Period, Years……...

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Q: Three years ago, Witt Gas Controls purchased equipment for $80

Three years ago, Witt Gas Controls purchased equipment for $80,000 that was expected to have a useful life of 5 years with a $9000 salvage value. Increased demand necessitated an upgrade costing $30,0...

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Q: A small company that manufactures vibration isolation platforms is trying to decide

A small company that manufactures vibration isolation platforms is trying to decide whether it should replace the current assembly system (D), which is rather labor intensive, now or 1 year from now w...

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Q: A recent graduate who wants to start an excavation/ earth-

A recent graduate who wants to start an excavation/ earth-moving business is trying to determine which size of used dump truck to buy. He knows that as the bed size increases, the net income increases...

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Q: A textile processing company is evaluating whether it should retain the current

A textile processing company is evaluating whether it should retain the current bleaching process that uses chlorine dioxide or replace it with a proprietary oxypure process. The relevant information...

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Q: In a replacement analysis, what number should be used as the

In a replacement analysis, what number should be used as the first cost for the currently owned asset? How is this value best obtained?

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Q: The estimated future market values and M&O costs for an

The estimated future market values and M&O costs for an in-place backup generator at MediCare Hospital and a possible replacement are shown below. Mrs. Jamison, Hospital Director, told you that sh...

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