Which of the following statements is CORRECT about replacement analysis where service lives of defender and challenger are unequal? Group of answer choices If the asset will be needed indefinitely use a study period approach. If asset replacement is a one-time occurrence, use a study period approach.  In the study period approach, longer study period is best for projects with definitive end. For projects that are needed for a specific number of years, assume “Repeat Replacement.”

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Which of the following statements is CORRECT about replacement analysis where service lives of defender and challenger are unequal?

Group of answer choices

If the asset will be needed indefinitely use a study period approach.

If asset replacement is a one-time occurrence, use a study period approach.

 In the study period approach, longer study period is best for projects with definitive end.

For projects that are needed for a specific number of years, assume “Repeat Replacement.”

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