What is future worth analysis?
future worth measures the surplus at time period other then 0.
worth analysis is particularly useful in an investment situation where we need
to compute the equivalent worth of a project at the end of its investment
What is annual equivalent method?
The criterion provide a basis for measuring investment
worth by determining equal payments on an annual basis is called annual
What is Replacement analysis?
analysis involves the Replacement of existing obsolete or worn-out assets in
order to avoid failure in operations.
problems often faced by management of various industries are whether to replace
equipment or to continue to use existing equipment, and when existing equipment
should be replaced with efficient equipment.
class of decision analysis is known as replacement analysis.
What is mean by gradual failure?
failure is progressive in nature.
ü It can be
depicted in machine equipment, which is gradually depreciating or deteriorating
with the time resulting in very high operating and maintenance cost and/or
decreased residual value.
ü It is
easier to predict such type of failure and taking the corrective measures by
providing a replacement policy for such machine equipment.
Define economic service life of an asset?
The economic service life of an asset is defined
to be the period of useful life that minimizes the annual equivalent cost of owning
and operating the asset.
What are the types of replacement problem?
of assets that deteriorate with time (replacement due to gradual failure, or
were and tear of the components of the machine).
be further classified in to the following types:
of economic life an asset
of an asset with a new asset.
(b)Simple probabilistic model for assets which
fails completely. (Replacement due to sudden failure).
Explain annual equivalent total cost.
Annual equivalent total cost of owning and operating
an asset is a summation of the capital recovery cost (average first cost) and
the annual equivalent operating cost of the asset.
Name the types of maintenance.
or Breakdown maintenance.
State the main causes of breakdown.
to replace worn out parts
ü Lack of
towards minor faults
State any two disadvantages of break down
1. Delays in
Explain Predictive maintenance.
ü It is comparatively a newer maintenance technique.
conditions are measured periodically or on a continuous basis and this enable maintenance men to take a timely action such
as equipment adjustments repair or overhaul.