Equipment Replacement and Maintenance (Leaving Cert Applied Maths): Quizzes
📚Quizzes
Practise the questions
12 questions from this quiz
ShowHide
Practise the questions
12 questions from this quiz
What technique is used to optimise equipment replacement decisions?
What technique is used to optimise equipment replacement decisions?
Dynamic programming
What is the key challenge in equipment replacement problems?
What is the key challenge in equipment replacement problems?
Balancing maintenance vs purchase costs
What happens if equipment is kept too long?
What happens if equipment is kept too long?
High maintenance costs result
Which is NOT a key component in the cost calculation?
Which is NOT a key component in the cost calculation?
Insurance premium
In the cost formula, how is resale value treated?
In the cost formula, how is resale value treated?
Subtracted from total cost
In which direction does dynamic programming work for this problem?
In which direction does dynamic programming work for this problem?
Backwards from the final year
Why must we work backwards in this approach?
Why must we work backwards in this approach?
Need optimal future costs first
What is the cost at year 0 (the very end)?
What is the cost at year 0 (the very end)?
Zero
How are optimal decisions marked in the decision table?
How are optimal decisions marked in the decision table?
With asterisks (*)
How do you find the best overall strategy?
How do you find the best overall strategy?
Follow the asterisked path
What typically happens to maintenance costs as equipment ages?
What typically happens to maintenance costs as equipment ages?
They increase due to wear and tear
What happens to resale values as equipment ages?
What happens to resale values as equipment ages?
They decrease due to depreciation