Total Machining and Operating Costs using Average Production Cost Calculator

✖Production Cost of Each Component is the total amount that it takes to produce a single component from scratch.ⓘ Production Cost of Each Component [C_pr]			+10% -10%
✖Average Cost of A Tool is simply the average cost of one tool being used for machining.ⓘ Average Cost of A Tool [C'_avg]			+10% -10%
✖Non Productive Time is the total time wasted in setting up the machine or workpiece for a particular process.ⓘ Non Productive Time [NPT]			+10% -10%
✖The Number of Tools Used is the total number of tools used for manufacturing a batch of products.ⓘ Number of Tools Used [N_t]			+10% -10%
✖Batch Size refers to the number of components or parts produced in a single production run before the setup is changed for another product.ⓘ Batch Size [B]			+10% -10%
✖Time to Change One Tool is the measure of time it takes to change one tool during machining.ⓘ Time to Change One Tool [t_c]			+10% -10%

✖Total Machining And Operating Cost is the total amount of money required to machine a given batch of product.ⓘ Total Machining and Operating Costs using Average Production Cost [C_o]

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Total Machining and Operating Costs using Average Production Cost Solution

STEP 0: Pre-Calculation Summary

Formula Used

Total Machining And Operating Cost = (Production Cost of Each Component-(Average Cost of A Tool*Non Productive Time)-(Number of Tools Used/Batch Size*(Average Cost of A Tool*Time to Change One Tool+Average Cost of A Tool)))*Batch Size
C_o = (C_pr-(C'_avg*NPT)-(N_t/B*(C'_avg*t_c+C'_avg)))*B
This formula uses 7 Variables

Variables Used

Total Machining And Operating Cost - Total Machining And Operating Cost is the total amount of money required to machine a given batch of product.
Production Cost of Each Component - Production Cost of Each Component is the total amount that it takes to produce a single component from scratch.
Average Cost of A Tool - Average Cost of A Tool is simply the average cost of one tool being used for machining.
Non Productive Time - (Measured in Second) - Non Productive Time is the total time wasted in setting up the machine or workpiece for a particular process.
Number of Tools Used - The Number of Tools Used is the total number of tools used for manufacturing a batch of products.
Batch Size - Batch Size refers to the number of components or parts produced in a single production run before the setup is changed for another product.
Time to Change One Tool - (Measured in Second) - Time to Change One Tool is the measure of time it takes to change one tool during machining.

STEP 1: Convert Input(s) to Base Unit

Production Cost of Each Component: 18226 --> No Conversion Required
Average Cost of A Tool: 42.338 --> No Conversion Required
Non Productive Time: 0.80002 Minute --> 48.0012 Second (Check conversion here)
Number of Tools Used: 3 --> No Conversion Required
Batch Size: 2 --> No Conversion Required
Time to Change One Tool: 0.5 Minute --> 30 Second (Check conversion here)

STEP 2: Evaluate Formula

Substituting Input Values in Formula

C_o = (C_pr-(C'_avg*NPT)-(N_t/B*(C'_avg*t_c+C'_avg)))*B --> (18226-(42.338*48.0012)-(3/2*(42.338*30+42.338)))*2

Evaluating ... ...

C_o = 28450.0163888

STEP 3: Convert Result to Output's Unit

28450.0163888 --> No Conversion Required

FINAL ANSWER

28450.0163888 ≈ 28450.02 <-- Total Machining And Operating Cost

(Calculation completed in 00.004 seconds)

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Created by Kumar Siddhant

Indian Institute of Information Technology, Design and Manufacturing (IIITDM), Jabalpur

Kumar Siddhant has created this Calculator and 400+ more calculators!

Verified by Parul Keshav

National Institute of Technology (NIT), Srinagar

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< Machining Cost Calculators

Total Machining and Operating Costs using Average Production Cost

LaTeX Go Total Machining And Operating Cost = (Production Cost of Each Component-(Average Cost of A Tool*Non Productive Time)-(Number of Tools Used/Batch Size*(Average Cost of A Tool*Time to Change One Tool+Average Cost of A Tool)))*Batch Size

Total Machining and Operating Costs given Total Production Cost

LaTeX Go Total Machining And Operating Cost = Total Production Cost-(Total Cost of Tools Used+Total Tool Changing Cost+Total Non Productive Cost)

Machining and Operating Rate given Total Machining and Operating Cost

LaTeX Go Machining And Operating Rate = Rate of Total Machining And Operating Cost/Total Production Time

Total Machining and Operating Cost

LaTeX Go Rate of Total Machining And Operating Cost = Machining And Operating Rate*Total Production Time

Total Machining and Operating Costs using Average Production Cost Formula

LaTeX Go

Significance of Machining and Operating Costs

The Machining and Operating Cost basically helps in determining the count of components that can be manufactured in the given resources. If this calculated cost is lower than the actual cost based on machining time, it means that the production planning has failed, as the total number of the components that are to be produced becomes lower than the starting batch size.

How to Calculate Total Machining and Operating Costs using Average Production Cost?

Total Machining and Operating Costs using Average Production Cost calculator uses Total Machining And Operating Cost = (Production Cost of Each Component-(Average Cost of A Tool*Non Productive Time)-(Number of Tools Used/Batch Size*(Average Cost of A Tool*Time to Change One Tool+Average Cost of A Tool)))*Batch Size to calculate the Total Machining And Operating Cost, The Total Machining and Operating Costs using Average Production Cost is a method to determine the capital that must be invested for machining and operating processes to be afforded for a whole batch when based on the expense it took to manufacture a single component. Total Machining And Operating Cost is denoted by C_o symbol.

How to calculate Total Machining and Operating Costs using Average Production Cost using this online calculator? To use this online calculator for Total Machining and Operating Costs using Average Production Cost, enter Production Cost of Each Component (C_pr), Average Cost of A Tool (C'_avg), Non Productive Time (NPT), Number of Tools Used (N_t), Batch Size (B) & Time to Change One Tool (t_c) and hit the calculate button. Here is how the Total Machining and Operating Costs using Average Production Cost calculation can be explained with given input values -> 28450.02 = (18226-(42.338*48.0012)-(3/2*(42.338*30+42.338)))*2.

FAQ

What is Total Machining and Operating Costs using Average Production Cost?

The Total Machining and Operating Costs using Average Production Cost is a method to determine the capital that must be invested for machining and operating processes to be afforded for a whole batch when based on the expense it took to manufacture a single component and is represented as C_o = (C_pr-(C'_avg*NPT)-(N_t/B*(C'_avg*t_c+C'_avg)))*B or Total Machining And Operating Cost = (Production Cost of Each Component-(Average Cost of A Tool*Non Productive Time)-(Number of Tools Used/Batch Size*(Average Cost of A Tool*Time to Change One Tool+Average Cost of A Tool)))*Batch Size. Production Cost of Each Component is the total amount that it takes to produce a single component from scratch, Average Cost of A Tool is simply the average cost of one tool being used for machining, Non Productive Time is the total time wasted in setting up the machine or workpiece for a particular process, The Number of Tools Used is the total number of tools used for manufacturing a batch of products, Batch Size refers to the number of components or parts produced in a single production run before the setup is changed for another product & Time to Change One Tool is the measure of time it takes to change one tool during machining.

How to calculate Total Machining and Operating Costs using Average Production Cost?

The Total Machining and Operating Costs using Average Production Cost is a method to determine the capital that must be invested for machining and operating processes to be afforded for a whole batch when based on the expense it took to manufacture a single component is calculated using Total Machining And Operating Cost = (Production Cost of Each Component-(Average Cost of A Tool*Non Productive Time)-(Number of Tools Used/Batch Size*(Average Cost of A Tool*Time to Change One Tool+Average Cost of A Tool)))*Batch Size. To calculate Total Machining and Operating Costs using Average Production Cost, you need Production Cost of Each Component (C_pr), Average Cost of A Tool (C'_avg), Non Productive Time (NPT), Number of Tools Used (N_t), Batch Size (B) & Time to Change One Tool (t_c). With our tool, you need to enter the respective value for Production Cost of Each Component, Average Cost of A Tool, Non Productive Time, Number of Tools Used, Batch Size & Time to Change One Tool and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.

How many ways are there to calculate Total Machining And Operating Cost?

In this formula, Total Machining And Operating Cost uses Production Cost of Each Component, Average Cost of A Tool, Non Productive Time, Number of Tools Used, Batch Size & Time to Change One Tool. We can use 2 other way(s) to calculate the same, which is/are as follows -

Total Machining And Operating Cost = Total Production Cost-(Total Cost of Tools Used+Total Tool Changing Cost+Total Non Productive Cost)
Total Machining And Operating Cost = Total Production Cost-(Total Non Productive Cost+Total Tool Changing Cost+Total Cost of Tools Used)

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