Replacement Decisions
As long as an organization is involved in an activity that depends on one or more assets, and the lifetime of those assets is shorter than the duration of the activity, that organization will eventually be faced with a replacement decision. A software development organization will probably continue to be involved in software development well beyond the lifetime of their existing development computers. That organization will be faced with a replacement decision when they consider getting later, more powerful computers for the software development staff.
REASONS FOR REPLACEMENT: DETERIORATION AND OBSOLESCENCE
One reason for replacement is deterioration. As machines and equipment are used, they simply wear out. Cars wear out, ...
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