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Manufacturing-cost estimation actual costs

Budgeted income statements are identical in form to actual income statements. However, the budgeted numbers are objectives rather than achievements. Budgetary models based on mathematical equations are increasingly being used. These may be used to determine rapidly the effect of changes in variables. Variance analysis is discussed in the treatment of manufacturing-cost estimation. [Pg.676]

As an example of manufacturing costs. Table 3 presents estimated production costs for Co-BR and Li-BR. These costs are based on new construction, operating at full capacity, and are higher than actual costs in existing commercial facilities. [Pg.311]

An estimate of manufacturing costs is the next step required for making an economic evaluation of the project. Only costs entering actual production are taken into account. Other important costs such as selling, research, and administrative expenses, income taxes, and return on investment will not be considered until later in this chapter. A 1C. H. Chilton, Chem, Eng., 67(4) 112 (1950). [Pg.222]

As cited in Chap. 6, basic instrumentation costs range from 3 to 20 per cent of installed equipment costs, depending oh the completeness of automatic control. Detailed instrumentation costs are required for final cost estimates within 10 per cent. Instrumentation as listed by code numbers from the instrumentation flow sheets is set up as separate instrument items on specification sheets and sent to suppliers. Firm quotations are received after mutual agreement on the correct type and application is reached among the purchasing and manufacturing personnel. Table 9-18 lists typical instrument and auxiliary costs which can be used for estimating purposes in lieu of actual quotations. [Pg.415]

Actual material cost estimates for each battery component are not readily available from a battery supplier or from an automobile manufacture. Only the rough cost estimates for the battery s major components are avoidable, which might have significant errors between 10 and 15%. These cost estimates at least will demonstrate realistic trends in the component costs as well as in the overall battery pack cost. A comprehensive review of published technical papers and reports have allowed the author to summarize the current and future material costs for each discrete component used in a high-energy Li-ion battery pack, as shown in Table 4.10. Limited information on the materials used and their cost in each discrete component used in Ni-MH and Li-air battery packs is... [Pg.172]

Figure 3.24(a) illustrates the results of a validation exercise in a company producing plastic molded components. The analysis was performed on a number of products at random, and the estimated costs predicted by the evaluation, Mf, have been plotted against the actual manufacturing costs provided by the company. Figure 3.24(b) illustrates another plot, this time... [Pg.273]

A pyrolysis plant does not yet exist and for this unit the costs are estimated from previous evaluations [9, 10] and prestudies of proposed units. The pretreatment of the raw material - milling and drying - is the same or very similar to wood fuel manufacture and pyrolysis liquid manufacture in pellet production about 10 - 15% moisture content is accepted whereas pyrolysis preferably should have a feed of <10% moisture. Hence, the conq)arison of production costs basically can be reduced to the actual pellet production vs. the pyrolysis process. For the general cost level, however, the receiving and pretreatment are evaluated as well. [Pg.870]

Suppose the cost of capacity for a certain manufacturer is 100 per unit and has to be incxured in advance, independent of actual demand. Suppose the revenue associated with satisfying demand is 200 per unit. The maximum quantity that can be produced is limited to the available capacity. Any unused capacity can be used to satisfy demand for low-margin products but yields a revenue of only 20 per unit. Any unsatisfied demand is estimated to have a goodwill impact of 200 per unit. [Pg.73]

It needs to be recognized that the data for PEAl and PEA B/WP represent engineering estimates. In addition, there is good reason to expect improvements in the actual performance versus the estimates. Despite years of development work, the commercial manufacturing process for PEA is in its infancy. If the experience from petrochemical-based polymers offers any instruction, it is that process improvements implemented in the early years of a technology typically lead to substantial cost improvements. This is because the pursuit... [Pg.212]


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