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Monitor Faults in current loop system and DAC

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Hey We are working on project and wanted to monitor the damages due to short circuit in pressure monitoring system, water valve controller has specifications of converting analog signals(4-20mA) to digital signal and digital signal into 0-5v analog output(respective to the sytems), we have 4-20mA current loop transmitter and ADC and 12v DC supply What will be best way make the use of these two components in to monitor the faults of current loops as well DAC?

Your Suggestion will be appreciated 

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