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5. What information should be considered when evaluating the replacement of an old asset by a...

5. What information should be considered when evaluating the replacement of an old asset by a new asset?

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Information to be considered when evaluating the replacement of an old asset by a new asset

  • Ongoing maintenance costs over the remaining life of the equipment
  • The impact any repair would have on productivity and quality
  • Costs incurred from the equipment downtime
  • Health, safety, and environmental costs that come with equipment breakdown
  • Training costs for a new piece of equipment
  • Disposal costs
  • Installation costs
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