Calculator Information

Understanding the life cycle cost of owning and maintaining assets is important to ensure good asset management. The life cycle cost for equipment should include all costs related to owning and running equipment. It should take into account the cost of loans, operator, depreciation, servicing, major repairs, minor repairs, fuel consumption, insurance and wear items. To assit you to estimate the life cycle cost of your equipment, iSolutions has provided this free Equipment Life Cycle Cost Calculator.

The Equipment Life Cycle Cost Calculator breaks equipment costs into four broad categories. Ownership, Maintenance, Consumables and Operator. You should enter your own costs (or those provided by your equipment supplier) in the cells provided to calculate the life cycle owning and operating cost.

This spreadsheet can them be used to evaluate equipment purchase options, or assist you to calculate the budget cost for using your equipment.

Parameters Purchase Price: Equipment Life in Hours: Residual Value (%): Interest Rate (%): Annual Usage: Insurance %: Annual Major Cost: Annual Servicing Cost: Labour to Hours Ratio: Labour Rate per Hour: Unassigned Cost Ratio: Fuel Cost (Litre): Fuel Consumption (L/hr): Cost of Tyres / Tracks: Life of Tyres / Tracks: Cost of Bucket / Blade / Body: Life of Bucket / Blade / Body: Purchase price of the equipment including any options, commissioning costs and transport to site The life of the equipment in operating hours after which the equipment will be sold or scrapped The sale or scrap value as a percentage of purchase price at the end of the equipment's life The annual interest rateor cost of capital The annual usage of the asset in hours The annual insurance cost as a percentage of purchase price The annul cost of major reqairs to the equipment The annual cost of servicing the equipment The number of labour hours required to maintain the equipment as a ratio to operating hours The hourly cost of maintenance labour The cost of unassigned or miscellaneous costs as a percentage of maintenance costs The cost of fuel per litre The hourly fuel consumption The cost of tyres or tracks The life of tyres or tracks The cost to overhaul the bucket, blade or body The number of hours between overhauls of the bucket, blade or body

Calculator Information

About iSolutions iSolutions is an innovative asset management and maintenance software and services provider. We specialise in life cycle costing and maintenance contract management. We have solutions for small, medium and large business. Contact iSolutions regarding our professional asset management solutions
Disclaimer:
iSolutions International Pty Ltd does not warrant the cost data or calculations contained within this Equipment Life Cycle Co st Calculator Spreadsheet. In no event shall iSolutions be liable to any party for any indirect, incidental, consequential,

www.isipl.com

Copyright 2007 iSolutions International Pty Ltd

Equipment Life Cycle Cost Calculator

Equipment Description: Generic Dump Truck

Ownership Cost per Hour

Depreciation 36.43 13.80 3.30 53.53 Interest

Total Cost per Hour

Ownership Maintenance Consumables Operator Total Hourly Cost 53.53 85.69 39.19 55.00 233.41

Input Table
Purchase Price Equipment Life in Hours Residual Value (%) Interest Rate (%) Annual Usage Insurance % Annual Major Cost Annual Servicing Cost Labour to Hours Ratio Labour Rate per Hour Unassigned Cost Ratio Fuel Cost (Litre) Fuel Consumption (L/hr) Cost of Tyres / Tracks Life of Tyres / Tracks Cost of Bucket / Blade / Body Life of Bucket / Blade / Body Operator Cost per Hour 1,200,000 28,000 15% 8% 4,000 1.10% 145,000 80,000 0.35 60.00 15% 1.00 28 38,000 4,500 55,000 20,000 55.00

Insurance Total Ownership

Maintenance Cost per Hour

Major Components Service and Repair Labour Unassigned Cost Total Maintenance 36.25 20.00 21.00 8.44 85.69
Ownership Maintenance

Life Cycle Cost Breakdown

Consumables Operator

Consumables
Fuel Tyres / Tracks Bucket / Blade / Body Total Consumables 28.00 8.44 2.75 39.19
Major Components Service and Repair

Maintenance Cost Breakdown

Labour

Operator
Operator 55.00

Unassigned Cost

Disclaimer:

iSolutions International Pty Ltd does not warrant the cost data or calculations contained within this Equipment Life Cycle Co st Calculator Spreadsheet. In no event shall iSolutions be liable to any party for any indirect, incidental, consequential, or special damages, including without limitation, lost revenues or profits.

www.isipl.com

Copyright 2007 iSolutions International Pty Ltd