Nowadays, managing assets effectively is key to the competitiveness of the process industry and owners should regularly address the issue of when to abandon or even replace an asset. Unfortunately, defining and calculating economic life is not always straight forward due to a lack of adequate methods.Suggest any method other than techniques of capital budgeting.
You may find this book useful:
Engineering Economy (16th Edition) by William G. Sullivan, Elin M. Wicks and Patrick Koelling (ISBN-13: 978-0133439274). Pay particular attention to "Chapter 9: Replacement Analysis".
You may find this book useful:
Engineering Economy (16th Edition) by William G. Sullivan, Elin M. Wicks and Patrick Koelling (ISBN-13: 978-0133439274). Pay particular attention to "Chapter 9: Replacement Analysis".
You might consider using Vernon’s pioneering work in the 1960s as the starting point to measure economic life of the project. As another alternative, you may consider resource dependence theory (RDT) to think about how high resource/technology dependence that the project needs other external stakeholders to go further.
dear Navita Nathani
you can focus to:
First item which Centjha project Market Characterization
Second, the study of demand for the commodity, which Centjha project
Third, the pricing of commodities Centjha project:
Fourth, sales forecasting:
with best wishes
dr.salim
Yes, I am agree with this research scholar. Just read the article and compare area of research is matching or not before make decision.
For valuation, find which is the useful life of the assets (years) that have higher economic value. Fundamentally, that defines the cycle of the project.
Then focus on estimating the residual life of the project. That's the real challenge.
In fact, it can be shown that the horizon of explicit valuation of a project is irrelevant to the extent that the residual value of the project is correctly estimated. Regards,
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