When you are considering whether to replace an aging machine with a new one,you should compare the equivalent annual cost of operating the old one with the equivalent annual cost of the new one.

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Comparing the equivalent annual cost of operating the old machine with the new machine is a common method to determine whether it is economically beneficial to replace an aging machine. By calculating the equivalent annual cost, you can take into account factors such as energy efficiency, maintenance costs, and expected lifespan, which can vary between old and new machines.

When You Are Considering Whether to Replace an Aging Machine