The finite element method (FEM) is developed for coupled thermoelastic crack problems if material properties are continuously varying. The weak form is utilized to derive the FEM equations. In conventional fracture theories the state of stress and strain at the crack tip vicinity is characterized by a single fracture parameter, namely the stress intensity factor or its equivalent, J-integral. In the present paper it is considered also the second fracture parameter called as the T-stress. For evaluation of both fracture parameters the quarter-point crack tip element is developed. Simple formulas for both fracture parameters are derived comparing the variation of displacements in the quarter-point element with asymptotic expression of displacement at the crack tip vicinity. The leading terms of the asymptotic expansions of fields in the crack-tip vicinity in a functionally graded material (FGM) are the same as in a homogeneous one with material coefficients taken at the crack tip.

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