In the replacement analysis under various circumstances

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Reference no: EM13834068

In the replacement analysis under various circumstances. Briefly summarize what your text calls Techniques 1 (Is Appropriate When Replacement Repeatability Assumptions Hold), 2 (If the replacement repeatability assumption holds, compare EUAC of the defender asset at its minimum cost life against the EUAC of the challenger at its minimum cost life.), and 3 (Compare the EUAC of the defender over its stated life against the minimum EUAC of the challenger) and the conditions under which each technique is most appropriate. All three techniques implicitly make the repeatability assumption. Explain what this assumption entails and conditions under which it is not appropriate. Suggest decision guidelines when the assumption is not realistic.

Reference no: EM13834068

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