Professional Documents
Culture Documents
Practice Set
Practice Set
Given Values:
1. Volume: _________
2. Surface Area: _________
3. Weight: _________
4. Thickness: _________
5. Length: _________
6. Length: _________
7. Width: _________
This is Aluminium Alloy part and the raw material form is plate. For calculation of material
cost we must take excess material.
For Plate Form,1-inch of excess taken in length direction and 0.2-inch excess considered
in width direction. In Thickness direction, we will add 0.25-inch excess then round it off to
next quarter.
Length: _____ (From Given) + 1 = _____-inch
Width: ______ (From Given) + 0.2 = _____-inch
Thickness: ______ (From Given) + 0.25 = _____-inch
5: Fab Inspection
Fab inspection time is 10% of the summation of all runtimes in manufacturing section
excluding inspections.
Fab Inspection time = (Cut to Working size time + Machining time + Blending & Deburring
time) *0.1.
Fab Inspection time = (_______+_______+______) *0.1 = _____ min.
Cost of Fab Inspection = [(Setup time (in hours)/lot size) +labor time(hours)] * Wrap Rate.
Cost of Fab Inspection = (0+______) *9.13 = $______.
Total Manufacturing Cost = Cut to Working size Cost + Machining Cost + Blending &
Deburring Cost + Visual Inspection Cost + Fab Inspection Cost.
6: Processing Cost
This Processing section includes cost of all finishing operations. All other processes apart
from machining process done over the finished product will be included here.
a) Penetrant Inspection
This process is to detect surface defects on the finished part
Setup time = 15.58 min
Wrap Rate = $21.13/hour
Labor time or Runtime = 1min
Labor time for penetrant inspection depends on surface area of part
Cost of Penetrant Inspection = [(Setup time (in hours)/lot size) +labor time(hours)] *
Wrap Rate
Cost of Penetrant Inspection = [(0.26/10) +0.0167] *21.13 = $0.9
d) Part Making
Setup time = 0
Wrap Rate = $9.13/hour
Labor time = 0.08 min
Cost of Part marking = [(Setup time (in hours)/lot size) +labor time(hours)] * Wrap
Rate
Cost of Part marking = (0+0.0013) *9.13 = $0.01
Total Processing Cost = Penetrant inspection cost + Chromic acid anodizing cost +
primer coating cost+ part marking cost
Profit:
Profit is 10% on total cost and SG&A cost
Profit= (_____+____) *0.1 = $______