Minimum Cost Function

When the equivalent annual total cost of a design variable is a function of increasing (O&M costs) and decreasing cost components (capital costs), we usually can find the optimal value that will minimize its cost.

x where x is a common design variable, and a, b, and c are constants.

To find the value of the common design variable that minimizes the AE(i), we need to take the first derivative, equate the result to zero, and solve for x.

The value x* is the minimum cost point for the design alternative. To illustrate the optimization concept, we will consider selecting an optimal pipe size.

Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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