• The Transactions of The Korean Institute of Electrical Engineers
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• v.60 no.11
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• pp.1993-1999
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• 2011

Today, the power utilities is setting on the slow load growth and the aging of power equipment, and then could spend the efforts on the stability of system performance. Asset management may be defined as the process of maximizing corporate profit by maximizing performance and minimizing cost over the entire life cycle of power equipment. Therefore, asset management is great way to fulfill the economic investment and the stability of system performance. This paper presents the application of effective asset managem ent from an economic perspective. A proposed method is considering the life cycle analysis using life cycle cost methodology for hydro-generator during the total life cycle. The life cycle cost methodology include a way to calculating maintenance and operating costs. The proposed method will be expected to play an important role in investment decision making considering economic evaluation.

• Journal of the Korean Society for Aviation and Aeronautics
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• v.10 no.1
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• pp.57-68
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• 2002

The economical aspects should be evaluated to decide the LCC(Life Cycle Cost) of the long life facilities or equipments. Airplane operators evaluate the economical aspects to decide whether they maintain the existing airplane or substitute the new one. This paper presents economic life cycle and economic life cost for both Cessna 172R and Mooney 20J that are operated for flight training in 'H' University. The residual value that is used to calculate the capital recovery rate of the airplane is calculated based on the data from Blue Book published in USA. The annual equivalent on operation cost is calculated based on the 500 flight hours per year which is the annual flight hour for the airplane in 'H' university. This paper showed that economic life cycle of Cessna 172R is nine years since it was introduced in 2001, and Mooney 20J which was introduced in 1991 exceeds the economic life cycle in 2002.

• Journal of the military operations research society of Korea
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• v.23 no.1
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• pp.138-150
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• 1997

The life-cycle of the K-1 tank has been 10 years simply applying that of the U.S. M-1 tank. Therefore, this paper is focused on determination of an economic life-cycle for the K-1 tanks. The current operation cost is adjusted by interest rate and the depreciation cost is applied in this study for more reliable estimation of the life-cycle cost. The Equivalent Annual Method is utilized and then various regression techniques are applied for deriving an effective economic life-cycle. The economic life-cycle of the K-1 tank results in 13 years in this study. considering 95% confidence interval, the life cycle of the K-1 tank is between 10.5 years and 15.5 years.

• Korean Journal of Construction Engineering and Management
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• v.2 no.4 s.8
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• pp.135-143
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• 2001

The purpose of this study is to estimate and analyze the optimum economic life of office buildings in consideration of their LCC (Life Cycle Cost), and thereby, explore the ways to manage the outlived office buildings economically. In estimating the economic life, initial investment cost and maintenance cost are taken into due consideration. For this study, those office buildings in Yeouido and Mapo region were sampled. The surveyed details were reduced to unit area to calculate a unit value, and then, their optimum economic life was estimated using LCC. Five alternatives for management of outlived office buildings were compared in terms of reconstruction or rehabilitation cost.

• Journal of Korean Institute of Industrial Engineers
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• v.19 no.1
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• pp.73-77
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• 1993

This paper considers an Economic Order Quantity Model under random life cycle. It is assumed that the life cycle of the product is unknown; a random variable. Three cost parameters are considered; ordering cost, inventory carrying cost and salvage cost. Expected total cost is the optimization criterion. We show that the optimal cycle length is unique and finite, and present a simple line search method to find an optimal cycle length.

• Journal of the military operations research society of Korea
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• v.30 no.2
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• pp.13-31
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• 2004

This paper aims at efficient determining the economic life of weapon systems. Specifically, the procedure to estimate the life cycle cost at initial acquisition state or at development state using the PRICE model is proposed. The PRICE model is a parametric cost estimation which is widely used in the field of national defense. The model includes the estimation of the cost in life cycle of weapon systems such as research and development, acquisition, operation and support. Using this model, economic life of weapon systems can be determined. Based on an equivalent annual cost (EAC) method which sums the capital recovery with return (CR) and the equivalence cost (EC), the economic life will be calculated. A case study is accomplished to illustrate the proposed procedure.

• Journal of the Korean Home Economics Association
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• v.30 no.1
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• pp.199-217
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• 1992

The purpose of this study was to examine changes in the household investment planning according to the family life cycle, to improve the household investment planning process, and to develop research model. The results were as follows : Household investment planning varied with stages of the family life cycle because the stock of resources shifted and financial goals changed as the family life cycle stage changed. The main financial goals of family in each stage of the life cycle were the purchasing of house in the establishing stage, children's education and marriage in the extending stage, and the elderly's economic welfare in the diminishing stage. Also, in the Ⅰ & Ⅱ stage the most important investment goals were the purchasing of house, children's education in the Ⅲ stage, children's marriage in the Ⅳ stage, and the elderly's economic welfare in the Ⅴ stage. Therefore, the financial goals were recognized as the important goals underlain the investment-planning goals, and alternatives for the accomplishment of investment-planning goals were determined. The results of this study can contribute to establish the long-run investment planning process and improve the level of household's financial well-being.

• KIEAE Journal
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• v.6 no.1
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• pp.3-10
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• 2006

As has been expected, economic factors are a major consideration in almost every decision in building design process. Assuming that improving a lighting system, existing or proposed, will reduce operating cost, what preliminary economic guidelines can be established to determine whether any proposed investment appears cost effective? In such a case a reasonable technique to compare system costs is by life-cycle costing. Stated simply, a life-cycle cost represents the total cost of a system over its entire life cycle, that is, the sum of first cost and all future costs. This paper aims to exemplify the benefit of daylighting in term of economic consideration. Four different electric lighting system designs are proposed and a lighting control system that is continuously operating according to the level of daylight in the space has been adapted. The accumulated performance of electric and daylighting is figured out to declare the effective depth of daylight in the space. The analysis on the saving amount of lighting energy due to daylight has been undertaken in answer to the question, that is, several projects are being considered, which is the most desirable from the cost-effectiveness viewpoint. The result shows clearly that although denser layout of lighting fixtures might be more effective to interface to the level of daylight ceaselessly changeable, its economic benefit may not meet the expected criterion the reason of increased initial investment and maintenance cost for the fixtures and control hardware.

• Computational Structural Engineering : An International Journal
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• v.1 no.1
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• pp.59-69
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• 2001

This study is intended to propose a systematic approach for reliability-based assessment of life cycle cost (LCC) effectiveness and economic efficiency for cost-effective seismic upgrading of existing bridges. The LCC function is expressed as the sum of the upgrading cost and all the discounted life cycle damage costs, which is formulated as a function of the Park-Ang damage index and structural damage probability. The damage costs are expressed in terms of direct damage costs such as repair/replacement costs, human losses and property damage costs, and indirect damage costs such as road user costs and indirect regional economic losses. For dealing with a variety of uncertainties associated with earthquake loads and capacities, a simulation-based reliability approach is used. The SMART-DRAIN-2DX, which is a modified version of the well-known DRAIN-2DX, is extended by incor-porating LCC analysis based on the LCC function developed in the study. Economic efficiencies for optimal seismic upgradings of the continuous PC segmental bridges are assessed using the proposed LCC functions and benefit-cost ratio.

• Journal of the Society of Naval Architects of Korea
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• v.42 no.6 s.144
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• pp.673-678
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• 2005

IMO adopted ' International Convention for The Control and Management of Ships' Ballast Water and Sediments ' on February 13th 2004. According to this convention, a ballast water treatment system should be installed in all ships obligatorily up to a standard date. When the system is installed, economic propriety should be considered. The economic propriety analysis examines the profit of a relevant project which can be presented by a equation, (Profit) = (income) - (expense) - (tax). However, the ballast water system is not for the profit during the life cycle but for the satisfaction of the regulation. Therefore, the expense should be minimum against the profit. This study presents the LCC(Life-Cycle Cost) analysis for economic evaluation of several ballast water system of foreign products.