What will a manufacturer do if I do not specify loss evaluation factors?
By Roman Targosz / Published on Wed, 2006-12-20 01:00If you do not specify values for the A & B factor (see minute lecture TCO of transformers), the manufacturer has no means to assess whether you prefer low losses during the lifetime of the transformer, or a low purchase price. Most likely, the manufacturer will assume A = B = 0 euro/W. As a result, the capitalisation formula will include only the purchase price. The result of the purchasing process is likely to be a lowest-first cost transformer, but with high losses, and probably higher cost of ownership.
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