Asset management and capital expenditure

Question 1

What are the 3 ways to analyse assets?

Answer 1

Condition
Sufficiency
Suitability

Question 2

What is investment?

Answer 2

Increasing stock of an asset

Question 3

What are the 5 aspects of asset management?

Answer 3

1. Maintaining existing costs
2. Maintaining security
3. Disposal of assets
4. Replacement of assets
5. Acquiring new assets

Question 4

What are the four stages of asset planning?

Answer 4

1. Audit
2. Determining priorities
3. Feasibility studies
4. Implementation, review and evaluation

Question 5

What is consumption?

Answer 5

Deterioration of an asset