An aircraft manufacturer uses 1,000,000 special rivets per year at a uniform rate. The rivets are made on a single-spindle automatic screw machine at the rate of 3,000 per hour. The manufacturing cost is $0.0052 per rivet and the storage cost is estimated to be $0.0008 per rivet per year. The set-up cost is $40 per set-up. Calculate the economic production quantity and the allow- able variation in this quantity for a maximum deviation from the minimum cost of 5%. Assume the machine operates 1,700 hours

An aircraft manufacturer uses 1,000,000 special rivets per year at a uniform rate. The rivets are made on a single-spindle automatic screw machine at the rate of 3,000 per hour. The manufacturing cost is $0.0052 per rivet and the storage cost is estimated to be $0.0008 per rivet per year. The set-up cost is $40 per set-up. Calculate the economic production quantity and the allow- able variation in this quantity for a maximum deviation from the minimum cost of 5%. Assume the machine operates 1,700 hours

Solid Waste Engineering

3rd Edition

ISBN:9781305635203

Author:Worrell, William A.

Publisher:Worrell, William A.

Chapter4: Mechanical Processes

Section: Chapter Questions

Problem 4.14P

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Concept explainers

Quantity takeoff

Quantity takeoffs (QTO) are precise estimates of the materials and labor costs required to finish a construction project. During the pre-construction phase, an estimator prepares them, breaking down the project into smaller, more manageable parts that are easier to evaluate. These measurements are used to prepare a construction scope bid. Estimators examine the drawings, specifications, and models to figure out different quantities and their costs. Since, the components, their quantity, and price are all included in the model, quantity take-off can be done automatically using Building Information Modelling (BIM). The time taken for completing a construction project can be reduced by the use of quantity takeoff. These takeoffs are also called material takeoffs and construction takeoffs.

Question

3. An aircraft manufacturer uses 1,000,000 special rivets per year at a uniform
rate. The rivets are made on a single-spindle automatic screw machine at the
rate of 3,000 per hour. The manufacturing cost is $0.0052 per rivet and the
storage cost is estimated to be $0.0008 per rivet per year. The set-up cost is
$40 per set-up. Calculate the economic production quantity and the allow-
able variation in this quantity for a maximum deviation from the minimum
cost of 5%. Assume the machine operates 1,700 hours per year,

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