The VTI National Transport Library Catalogue

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Fundamentals of life-cycle cost analysis Lee, Douglass B Jr

By: Publication details: Transportation Research Record, 2002Description: nr 1812, s. 203-10Subject(s): Bibl.nr: VTI P8167:1812Location: Abstract: Benefit-cost analysis (BCA) is a framework for evaluating the desirability of transportation capital and maintenance investments. Life-cycle cost analysis (LCCA) has been used for similar purposes, so it may be helpful to compare these two methods for scope and consistency. It is concluded that LCCA is a restricted form of BCA that can be applied in situations where benefits are assumed to be equal for all alternatives. Under these conditions, the project alternative with the lowest discounted cost is preferred. User costs may be included if relevant to the evaluation.
Item type: Reports, conferences, monographs
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Benefit-cost analysis (BCA) is a framework for evaluating the desirability of transportation capital and maintenance investments. Life-cycle cost analysis (LCCA) has been used for similar purposes, so it may be helpful to compare these two methods for scope and consistency. It is concluded that LCCA is a restricted form of BCA that can be applied in situations where benefits are assumed to be equal for all alternatives. Under these conditions, the project alternative with the lowest discounted cost is preferred. User costs may be included if relevant to the evaluation.

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