Industry-relevant training in Business, Technology, and Design to help professionals and graduates upskill for real-world careers.
Fun, engaging games to boost memory, math fluency, typing speed, and English skills—perfect for learners of all ages.
Enroll to start learning
You’ve not yet enrolled in this course. Please enroll for free to listen to audio lessons, classroom podcasts and take practice test.
Test your understanding with targeted questions related to the topic.
Question 1
Easy
Define defender and challenger in the context of equipment analysis.
💡 Hint: Think about the equipment comparison.
Question 2
Easy
What does salvage value represent?
💡 Hint: Consider what one would receive after selling the equipment.
Practice 4 more questions and get performance evaluation
Engage in quick quizzes to reinforce what you've learned and check your comprehension.
Question 1
What is the main consideration when analyzing equipment replacement?
💡 Hint: Focus on what influences future cash flows.
Question 2
True or False: Sunk costs affect current replacement decisions.
💡 Hint: Think about how past expenses relate to current financial strategies.
Solve 1 more question and get performance evaluation
Push your limits with challenges.
Question 1
Assume the defender’s operating costs rise significantly. Analyze how adjusting these figures impacts the Equivalent Annual Cost and potential decision to keep or replace the defender.
💡 Hint: Consider adjusting only the operating costs while keeping the other variables constant.
Question 2
You have three pieces of equipment with different operational costs, salvage values, and remaining lives. Create a comparative analysis model using EAC to determine which piece to retain.
💡 Hint: Ensure to follow the calculation steps for EAC, like considering the current market values and using proper formulas.
Challenge and get performance evaluation