## Capacity expansion: analysis of simple models with applications |

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### Contents

Introduction | 3 |

The Economic CriterionPresent Worth | 10 |

Requirements Model | 21 |

Copyright | |

10 other sections not shown

### Common terms and phrases

additional algorithm annual cost approximation assumed assumption backward dynamic programming calculations capacity cost capacity expansion models capacity expansion problem capacity type cash flow Chapter conduit congestion cost consider cost of money cost per unit criterion curve defined deluxe capacity deluxe expansion demand growth rate discounting rate discussed dollars economy-of-scale effects equivalent annual cost equivalent deterministic demand Example expansion interval expansion sequence expansion sizes expected value facilities firm forward dynamic programming gauge given horizon horizon problem identical illustrated importing cost infinite-horizon initial expansion install integer programming interest investment investors iteration Laplace transform linear demand linear programming minimize number of customers obtain operating cost optimal expansion optimal initial optimal solution pair gain pairs present worth cost projects random random variable Section shortage shown in Figure simple capacity expansion solve spare capacity standard capacity standard expansion statistically independent Suppose Table thousand channels total present worth variables variance versus