Equivalent Annual Cost EAC Complete Live Class

[@masoudmirzaei8243]

one of the attractive teaching style I've ever seen

[@EngineeringEconomicsGuy]

Thank you! Glad you like it!

[@indomieutara2374]

You make everything so easy to understand, something my college professors fail to do so. Thank you so much sir

[@EngineeringEconomicsGuy]

You are most welcome!

[@dogansahutoglu2073]

you are the best in this field, sir

[@EngineeringEconomicsGuy]

Thanks!

[@monkeysezbegood]

Thanks!

[@EngineeringEconomicsGuy]

No problem!

[@rcaone]

if we have to consider depreciation, Should I add the cost of depreciation to the cost of O&M when caluclating EAC(O&M)...Thanks a lot for all the help you provide

[@EngineeringEconomicsGuy]

Good question! The answer is 'no'. Depreciation is part of the EAC-capital. The present value of the future tax savings created by Depreciation expenses gets converted to an annual value as part of the EAC-cap!

[@taekwondotime]

*Do you cover the three cases of EAC problems in your videos?*
- CASE 1: Defender and Challenger are Identical
- CASE 2: Challenger is Different from Defender: Challenger repeats indefinitely
- CASE 3: Challenger is Different from Defender: Challenger does not repeat
Thanks. :)

[@EngineeringEconomicsGuy]

Sorry, I don't cover these explicitly - however - the thing students struggle with the most is getting the EAC calcs correct! The logic for the 3 Cases you described is the easy part, AND the calculations are the same for all cases. I have 3 other EAC Videos on my Channel under the 'Replacement Decisions' Playlist: th-cam.com/play/PLcfz9wmNxKqhSDF7C1FkR3B92tdo-Nzeh.html