Abstract
M.Comm.
This study investigates the criteria for determining the economic lifespan of
mining equipment from the perspective of a supplier of maintenance and repair
contracts. The Net Present Value method was selected as the method of choice
in developing the model. The model was applied to three different mining
equipment models where the life of the mining equipment where extended to
100,000 hours. The results indicate that the model can be used as a criterion for
determining the economic life of mining equipment. It is calculated that all three
mining equipment models have an economic life span of less than 100,000
hours.