REPLACEMENT PROCESS ANALYSIS OF AGRICULTURAL EQUIPMENT USING THE CAUE METHOD

The aim of this study was to evaluate, from an economic point of view, the optimal time to replace agricultural machinery. In the economic context in which agriculture is inserted, the dissemination of information is essential for decision-making, especially when these relate to factors such as costs and benefits of the investments to be made. The need to replace agricultural equipment arises from the increase in costs to maintain it, especially those related to repairs and maintenance, which over the years tend to grow sharply. Investments in equipment replacement must be subsidized through methods and economic analyzes that measure information and rationalize decision-making by the rural producer when determining the ideal moment for this replacement. This decision is of critical importance, as it is an irreversible decision that commits large amounts of money. The Equivalent Uniform Annual Cost (CAUE) method was used to calculate the economic life of a combine through the identical replacement method. The results show that, for the asset in question, the CAUE was minimum in the eighth year, which represents the economic life of this asset. This is the ideal time to replace the equipment in question, as from then on, your costs will increase exponentially and your resale value will be drastically reduced.