In: Finance
"An aircraft control actuator is part of the flight control
system that enables an airplane to fly. It is important that the
actuators are reliable. Reliability can be defined as the
probability a system is functioning, so it is a number between 0
and 1. One way to increase reliability of the actuator is to
increase the torque. The reliability R as a function of the maximum
torque T (in Newton-meters) is given by
R(T)=0.91*exp(0.027T)
where torque T is between 0.1 and 3.5. The development and
installation cost as a function of reliability equals [$1760+
$11007*(In R)], which will be paid immediately. Maintenance on the
actuator will occur in year 6 and in year 12. In each year the
maintenance cost as a function of reliability R is
[$1350/ln(1.45R)]. Assume the interest rate is 10%.
What is the optimal torque design (a number between 0.1 and 3.5
rounded to the nearest tenth) of the actuator that minimizes the
discounted lifecycle costs of the actuator? (You do not need to
calculate annual equivalent cost, but you do need to calculate the
present value of the costs.)"
Development and installation cost = $1760 + $11007*(ln R)
Maintenance occurs in year 6 and year 12
Maintenance cost = $1350/ln(1.45R)
Interest rate = 10%
R(T) = 0.91*exp(0.027T)
Taking log on both sides
ln(R) = ln(0.91* exp(0.027T)) = ln(0.91) + 0.027T
ln(1.45R) = ln(1.45) + ln(R) = ln(1.45) + ln(0.91) + 0.027T = ln(1.45*0.91) + 0.027T
= ln(1.3195) + 0.027T
The discounted lifecycle costs of the actuator:
LC = Development & Installation cost + PV of maintenance Cost
= $1760 + $11007*(ln R) + [$1350/ln(1.45R)]*(1+10%)^(-6) + [$1350/ln(1.45R)]*(1+10%)^(-12)
= $1760 + $11007*(ln R) + [$1350/ln(1.45R)]*[1.1^(-6) + 1.1^(-12)]
Substituting for ln(R) and ln(1.45R)
LC = $1760 + $11007*[ ln(0.91) + 0.027T] + [$1350/(ln(1.3195) + 0.027T)]*[1.1^(-6) + 1.1^(-12)]
To find the optimal torque design we will have to take the first derivative w.r.t T and set it equal to zero
dLC/dT = 11007*0.027 – 0.027*1350/[ln(1.3195) + 0.027T]2 * [1.1^(-6) + 1.1^(-12)]
= 297.189 – 32.1892/[0.277253 + 0.027T]2
Equating to zero,
297.189 = 32.1892/[0.277253 + 0.027T]2
[0.277253 + 0.027T]2 = 0.1083
0.277253 + 0.027T = 0.3291
T = (0.3291 – 0.277253)/0.027 = 1.92
So, T = 1.92 Newton-meters