Optimum Ownership Period Calculator First Principles

Category: Cost-Advanced

Summary

This workbook identifies the optimum ownership period by combining residual value modeling with a first-principles component replacement cost structure. It runs both classic and total-cost optimum ownership models, then highlights the minimum cost point and the corresponding age. The same percent-of-optimum color scale helps users interpret risk as machines age beyond the sweet spot. Use it when you want an optimum ownership view but must build operating cost behavior from planned component events rather than historical curve fitting.

Video Walkthrough