Journal of Korean Society of Industrial and Systems Engineering (산업경영시스템학회지)
- Volume 12 Issue 19
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- Pages.67-72
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- 1989
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- 2005-0461(pISSN)
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- 2287-7975(eISSN)
Cost Estimating and Marginal Analysis for Alternatives
대체안의 원가견적과 한계분석
Abstract
This paper concerns with the decision maker has the job of forecasting capital investments and operating expenses to aid the decision making in choosing and evaluating present annual and future alternatives. The cost estimating function eventually analysis, evaluates and choose the alternatives. And also, the marginal analysis performed originally from a preliminary design of some sort, and eventually plans are made to investigate investment possibilities. This paper provide the discounted net cash flows and the present, annual and future worth methods. In despite of any choice for an analytical methods, there remains the problems of predicting and assessments certain future events. Therefore, these models dealing with the optimal plant sizing, equipments replacement, and lease or buy will be discussed.
Keywords