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Chapter 7
Answers to Problems
7.1. An operation has a setup of 1.5 hr and a cycle time of 0.50 min. If the lot quantity is 75, find the lot
hours and unit time expressed in hours.
Answer:
Lot hr = 1.5 + 75 x 0.50/60 = 2.125 hr
Unit time = 2.125/75 = 0.02833 hr = 1.7 min considering the prorata share of setup.
Unit time without the influence of setup is 0.50/60 = 0.008 hr
7.2 An operation is estimated to require a setup of 10 hr and a cycle time of 1 min. If the productive hour
cost is $75, and the run quantity is 210 units, find the operation cost.
Answer:
Lot hr = 10 + 210 x 1/60 = 13.5
C
dlo
= $1,012.50
7.3 A collet-type turret lathe will rough turn, finish turn, drill and tap using an end turret, and cutoff with
the cross turret. The running of the 7-in. long stock includes the following metal cutting times:
Element Min
Rough turn 0.89
Finish turn 1.26
Drill 0.73
Tap 0.47
Cut off of stock 0.83
Estimate setup, pieces per hour, hr/100 units, and lot hours for a run of 710 units. (Hints: There are five
speed changes for machining RPMs. Use Tables 7.2, 7.4 and 7.5.)
Answer:
Setup Description Frequency Time Hr
Punch in and out 1 0.2 0.2
First tool 1 1.3 1.3
Additional tools 4 0.3 1.2
Collet 1 0.2 0.2
Total 2.9
Element Description Frequency Time Min
Start, stop 1 0.08 0.08
Change speed 5 0.04 0.20
Air clean 1 0.06 0.06
Feed stock, 7 in. + 0.23 0.23
End turret locations 4 0.08 0.32
Cross slide location 1 0.09 0.09
Rough turn 1 0.89 0.89
Finish turn 1 1.26 1.26
Drill 1 0.73 0.73
Tap 1 0.47 0.47
Cutoff stock 1 0.83 0.83
Cycle Total 5.16
N = 710 units. Setup = 2.9hr, Unit time = 5.16 min, pc/hr = 11.6, hr/100 = 8.600 hr, lot hr = 63.96
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7.4 A slot milling operation is performed on a 13-lb gray-iron casting. The setup includes an angle plate
with fixture mounting and a tolerance on the dimension being machined as - 0.002 in. Machining time is
2.24 min. The shop advises that air blowing and brushing chips will be necessary. Estimate setup, pieces
per hour, hr/100 units, and lot hours for a run of 1783 units.
Answer:
Setup Description Hr
Punch in and out 0.2
Angle plate 1.4
Slot milling cutter 1.6
Tight tolerance 0.5
Total 3.7
Cycle Element Min
Start and stop 0.08
Air clean 0.06
Brush chips 0.14
Load casting 0.25
Fixture clamping on angle plate 0.76
Metal cutting 2.24
Cycle total 3.53
Setup = 3.7 hr; Pc/hr = 17.0; hr/100 units = 5.883; lot hr = 108.6
7.5 An operation is estimated for a Burgmaster NC turret drill press. Ten aluminum flat parts are stacked-
drilled in 37 locations. Each part weighs 2.7 lb and is 1/8 in. thick and is loaded against a rail clamp-type
fixture. Four turret stations are used. Drilling time through the stack is 0.19 min per hole. Estimate setup,
unit time, pieces per hour, hr/100 units, and lot hours for a run of 983 units. (Hints: Hole sizes and locations
are not pertinent to the solution.)
Answer:
Setup Description Hr
Punch in and out 0.2
Fixture 0.1
First turret 0.75
Additional 3 turrets 0.21
Total setup 1.26
Cycle Elements Frequency Time Min
Start & stop 0.08
Air clean 0.04
Move part 10 0.13 1.30
Clamp with air 0.05
Raise tool, move 10 0.06 0.60
Index turret 4 0.03 0.12
Drilling 37 0.19 7.03
Cycle time 9.22
Unit time 1/10 0.922
Setup = 1.26 hr; unit time = 0.922 min, pc/hr = 65.1, hr/100 = 1.537; lot hr = 16.4
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7.6 A press operation for an automobile body fender production line has a setup of 30 hr for the form die,
which costs $72,500. The operation is estimated to require 2.173 min for loading, drawing to size and trim,
and unloading to the conveyor, which completes the cycle. The run for this model year is 247,500 units.
Material cost for the corrosion-resistant steel sheet-metal blank including all losses included is $7.12. The
productive hour cost for the press is $192.50.
Find the operation lot hours. Each press is expected to operate 4000 annual hours. How many
presses are necessary? Find the unit cost. Find the proportion of productive hour cost, material cost, and
tool cost. (Hint: It is necessary to find the number of machines and die sets that are required for the
production quantity.)
Answer:
Lot hr = 30 + 247,500(2.173/60) = 8994 hr. No. of presses = 8994/4000 = 2.3 or 3 conservatively. There
are 3 form die sets necessary. A slight improved no. of lot hr = 3 x 30 + 247,500(2.173/60) = 9055 hr.
C
dlo
= 9054 x 192.50 =$1,742,895.
C
u
= 1,742,895/247,500 + 7.12 + (3 x 72,500)/247,500 = $15.04.
Component Proportion, %
PHC 47
Material 47
Tooling 6
Note. The third press is idle a good part of the time for the requirement. Arguably, this idle time can be
picked up in the PHC for non-production of assets. The instructor can raise the question of a third shift and
the effect of this on the cost.
7.7 Permanent tooling is to be evaluated for an operation and product. Let the estimated unit savings in
direct labor be $0.30 for a part if tooling is used, burden on labor saved = 40%, cost of each setup = $100,
interest rate = 20%, allowance for taxes and insurance = 10%, allowance for depreciation and obsolescence
= 50% and allowance for maintenance = 25%.
(a) The cost of a fixture is $4000. With one run per year, how many pieces must be made per year to have
the fixture pay for itself?
(b) Let depreciation be 100%, because the fixture must pay for itself within a year. How large must that run
be?
(c) By using the initial data, how much money can we afford for a fixture for a single run of 15,000 units at
an estimated savings of $0.30 per piece?
(d) How many years for payback will a $4000 fixture require for an annual quantity of 20,000 units?
Answer:
(a) C = $4000, N = 4000(I + T + D + M)/(a(1 + t) + SU) = (4000(.2 + .1 + .5 + .25) + 100)/(.3(1.4)) =
10,238 units are required for the fixture to pay for itself.
(b) D = 100%. N = ((.2 + .1 + 1 + .25)4000 + 100)/.3(1.4) = 15,000 units
(c) N = 15,000. C = (15,000(.3)(1.4) 100)/(.2 + .1 + .5 + .25) = $5905
(d) N = 20,000 units. C = (20,000 x .3((1.4) 100)/(.2 + .1 + .5 + .25) = $7905. Years payback =
4000/7905 = 0.5 year
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7.8 (a) An operator earns $15 per hour. Handling and other constant time elements total 1.35 min. What is
the cost for the element?
(b) The machining length is 20 in. and the part diameter is 4 in. Standard velocity and feed for this material
is 275 fpm and 0.020 ipr. What is the time for turning?
(c) The Taylor tool life equation is VT
0.1
= 372. Find the average tool life for V = 275 fpm.
(d) Tool changing time is 4 min and other conditions are VT
0.1
= 372, V = 275 fpm, C
0
= $0.25/min, L = 20
in., D = 4 in., and f = 0.020 ipr. Determine the tool changing cost.
(e) By using information in earlier parts of this problem and C
t
= $5, find the tool cost per operation.
Answer:
(a) Handling cost = 15/60 x 1.35 = $0.34
(b) Time to machine = LD/12Vf = 204/(12 x 275 x 0.02) = 3.8 min
(c) Average tool life = T = (372/275)
10
= 20.5 min
(d) Tool changing cost = 0.25(4)(3.8/20.5) = $0.19
(e) Tool cost per operation = 5(3.8/20.5) = $0.93
7.9 (a) Operator wage and variable machine expenses are $60 per hour and handling is 1.65 min. Find the
handling cost for this element.
(b) The length and diameter of a gray iron casting are 8.5 by 8.6 in. Surface rotational velocity of the
casting is 300 fpm and feed is 0.020 ipr. Find the turning time.
(c) The Taylor tool life equation is VT
0.15
= 500. Find the average tool life for 300 fpm.
(d) The time to remove a square insert and index it to another new corner is 2 min, tool-life equation is
VT
0.15
= 500, V = 300 fpm, C
o
= $l/min, L = 8.5 in., D = 8.6 in., and f = 0.020 ipr. What is the cost to
change tools?
(e) By using the information in part (d), and that an eight-corner insert for rough turning of cast iron is $24,
find the tool cost per operation.
Answer:
(a) Handling cost = $60/hr x hr/60 x 1.65 min = $1.65
(b) Turning time = t
m
= LD/12Vf = 8.5 8.6/12(300)(0.02) = 3.19 min
(c) Average tool life = T = (500/300)
1/0.15
= 30.13 min
(d) Cost to change tools = ($1/min)(2 min)(3.19/30.13) = $0.21
(e) Tool cost per operation = 24/8(3.19/30.13) = $0.32
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7.10 (a) Stainless-steel material is to be rough and finish turned. Diameter and length of the bar stock are 4
x 30 in. Recommended rough and finish cutting velocity and feed for tungsten carbide tool material are (V
= fpm, f = ipr) or (350, 0.015) and (350, 0.007). Determine rough and finish cutting time.
(b) Medium carbon steel is to be rough and finish turned by using high-speed steel-tool material. The part
diameter and cutting length are 4 in. and 20 in. Determine the total time to machine by using Table 7.2.
(c) Gray cast iron is to be rough and finish turned with tungsten carbide tooling. Part diameter and cutting
length are 8.6 in. and 8.5 in. What is the part RPM for the rough and finish? Find the total turning time.
(Hint: Use Table 7.2 for the turning velocity and feed. To find the time, use the relationship t
m
= L/fN.)
Answer:
(a) V = 350, f = 0.015) rough cutting
t
m
= 304/12(350).015) = 6 min for a rough pass
t
m
= 304/12(350).007) = 12.8 min for the finish pass machining of the stainless steel bar stock
(b) High speed steel machining of medium carbon steel.
Rough = (190, 0.015), t
m
= 204/12(190)0.015 = 7.3 min
Finish conditions = 125, 0.007; t
m
= 204/12(125)0.007 = 23.9 min
Total time = 7.3 + 23.9 =31.2 min
(c) Gray cast iron
N = 12 V/D; For roughing N = 12 (500)/ (8.6) = 222 RPM,
For finish, V, f = 675, 0.01; N = 300 RPM,
t
m
= L/fN = 8.5/222 x .02 + 8.5/300 x 0.01 = 4.7 min
7.11 (a) Find the time to rough mill a stainless-steel work material having a total-machining 4-in.flat
surface length of 35 in. The plain milling cutter is high speed steel material, and is 4-in. O.D., 6-in. wide
and has 16 teeth. (Hints: Assume only one pass. Refer to Table 7.2 for information.)
(b) Find the time to finish mill a medium-carbon steel work material having a total-machining slot length of
11.5 in. by 1-in. wide. The end milling cutter is high speed steel material, and is 1-in. O.D. and has 4 teeth.
Answer:
(a) t
m
= LD/12Vn
t
f
t
= 354/12(140)(16)(0.006) = 2.7 min
(b) t
m
= LD/12Vn
t
f
t
= 11.5/12(95)4(0.002) = 4.0 min
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7.12 (a) A gray cast-iron block has one hole that is drilled and tapped according to the drawing callout of
5/16-16 for a length of 1.5 in. Standard time data retrieval for setup are 2 hours and all handling requires
1.65 min. There are 93 units on the operation order. What is the cycle time? Find the lot hours for this
operation.
(Hints: The final tap diameter is 5/16 in. and has 16 threads per in. The drill diameter is smaller
than 5/16 in. and thus _ in. is chosen, it being the only stated value in Table 7.2. The drilling length is
typically longer than the tapped length by one thread length or so.)
(b) A medium carbon steel part has one hole that is drilled and tapped according to the standard drawing
callout of 3/8-10 for a length of 0.75 in. Standard time data retrieval for setup is 1.22 hours and all handling
requires 0.65 min. There are 273 units on the operation order. Find the lot hours for this operation.
Answer:
(a) t(Time to drill _ hole) = Lf
d
= 1.6 x 0.20 = 0.32 min
t(time to tap 5/16-16 hole) = 1.5 x 0.21 = 0.32 min
Total cycle time = 1.65 + 0.32 + 0.32 = 2.29 min
Lot hr = 2.00 + 93(2.29/60) = 5.55 hr
(b) t(time to drill 5/16 in. hole) = 0.80 x 0.23 = 0.18 min
t(time to tap 3/8 10 hole) = 0.75 x 0.32 = 0.24 min
Total cycle time = 0.65 + 0.18 + 0.24 = 1.07 min
Lot hr = 1.22 + 273(1.07/60) = 6.09 hr
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7.13 (a) A 10-in. long block is to have a 1-in. wide slot machined on it. The HSS end mill is 1 in. O.D. and
only one finish pass is machined over the slot. Calculate the approximate length of cut for the tool if the
safety stock is 1/4 in. Repeat if the width of the slot is 2 in.
(b) A slab milling cutter is 6 in. in diameter. The design length for metal removal is 15 in., and one rough
machining passes of 3/8 in. depth of stock removal is necessary. Safety stock is 1/4 in. Determine the
approximate length of cut for roughing.
(c) A slab milling cutter is 6 in. in diameter. The design length for metal removal is 15 in., and two rough
machining passes of 3/8 in. depth of stock removal and one finish 0.015 in. depth of cut are necessary.
Safety stock is 1/4 in. Determine the length of cut for roughing and finishing.
(d) Find the length of cutting for a 1 in. dia drill in soft steel where the design length is 2 in.
Answer:
(a)
1 width slot 2 width slot
L = 1/4 + 1/2 + 10 + 1/2 = 11-1/4 L = 1/4 + 1/2 + 10 + 1/2 + 1 + 1/2
+ 10 + 1/4 + 1/2 + 1 = 24-1/2
(b)
( ) d D d L
c a
=
( ) 45 . 1 375 . 0 6 375 . 0 = =
L = 1/4 + 1.45 + 15 = 16.7
(c) from (b) L = 16.7
for 0.015, L
a
= 0.3
Total length of cut = 16.7 + 16.7 + 15.3 = 48.7
(d) L = 1/16 + 0 + 2 + 0.2 (1) = 2.26
f
f
f
1/2
1/
1/2
10
1 2
3
4
10
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7.14 (a) A stainless steel surface 1 x 10 in. is to be end milled with a 1-in. high-speed steel four-tooth end
mill for a depth of 0.0l5 in. The end mill will pass entirely over the material and have a safety stock of 1/8
in. Velocity is 95 fpm, and chip load per tooth is 0.0015. What is the length of cut? How much time is
necessary for machining? What is the cutter RPM and feed rate in in. per min?
(b) A 1-in. slot is to be end milled in gray cast iron for a depth of 1/4 in. for a design length of 20 in. A
rough and finish pass is required for the HSS four-flute cutter. A safety stock of 1/8 in. is necessary What is
the machining length of cut for the rough or finish machining pass? Determine rough and finish machining
time. Find cutter RPM and cutting rate in in. per min. If the non-machining time is 1.73 min per unit and
the setup is 3.24 hr, find the lot hours for 217 units for the operation.
(Hints: Use Table 7.2 for machining data, where data are cutting velocity and tooth load. The
cutter must pass entirely over the surface for the finish pass.)
Answer:
(a) L = 1/8 + _ + 10 + _ = 11.125 in.
t
m
= 11.125/12(95)4(0.0015) = 5.1 min
N = 12(95)/ = 363 RPM
Feed rate in. per min = 11.125/5.1 = 2.18 in./min
(b) L(rough) = 1/8 + _ + 20 = 20.675 in.
Rough t
m
= 21.125/12(85)4(0.004) = 4.1 min
Rough cutter N = 12V/D = 12(85)/3.14 = 325 RPM
Cutting rate = 20.675/4.1 = 5.0 in./min
L(finish) = 1/8 + _ + 20 + _ = 21.125
Finish t
m
= 21.125/12(95)4(0.003) = 4.8 min
N = 12(95)/3.14 = 363 RPM
Cutting rate (finish) = 21.125/4.8 = 4.4 in./min
Total cycle time = 4.1 + 4.8 + 1.73 = 10.63 min
Lot hr = 3.24 + 217(10.63/60) = 41.7 hr.
7.15 (a) A gray cast-iron surface 6 in. wide by 30 in. long is rough milled to a depth of 1/4 in. The 16-tooth
cemented-carbide face mill is 6 in. in diameter. Estimate the cutting time. Find the cutter RPM. (Hints: The
computer controlled milling machine is performing the operation as if the cutter is an end mill in a vertical
position. There is _ in. for safety space. Use Table 7.2 for machining data and apply Eq. (7.14). In exiting
the surface, the cutter does not pass entirely over the surface for a rough machining pass.)
(b) A high-speed steel vertical milling cutter having 12 teeth is 4 in. in diameter and is used to mill a soft-
steel surface 3 in. wide by 9 in. long with a depth of cut of 3/4 in. A cutting speed of 170 fpm and a feed of
0.008 in per tooth-rev. are selected. Find the cutting time and cutter RPM. What is the operation lot hours if
the setup is 3.25 hr and other cycle time is 14.17 min for 27 units?
Answer:
(a) L = _ + 3 + 30 + 0 = 33.5
From the table, fpm = 170 and tooth load = 0.008.
T
m
= 33.56/12(170)0.008 = 2.42 min
N = 12V/D = 12(170)/3.14(6) = 108 RPM
(b) Assume a rough pass over the surface, thus the cutter needs to only traverse over the end edge.
L = _ + 2 + 9 + 0 = 11.5 approx.
T
m
= LD/12Vnf = 11.54/12(170)12(0.008) = 0.74 min
N = 12V/D = 12(170)/4 = 162 RPM
Lot hr = 3.25 + 27(0.75 + 14.17)/60 = 10 hr approx.
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7.16 (a) A stainless-steel part is drilled 5/16 in. which is followed by a 3/8-16 N.C. tap for a depth of 7/8 in.
Find the drilling length and the total of drilling and tapping time. (Hint: Use Table 7.2.)
(b) Medium carbon steel is tap-drilled 1/4 in., which is followed with a tapping element of 3/8-24 N.F. for
1.3 in. There are 26 holes. Find the drilling length and the total of drilling and tapping time.
There are 172 units in a lot and the setup is 0.7 hr and the cycle time exclusive of the drilling and
tapping of holes is 7.13 min. What are the pieces per hour. Find the lot hours. (Hint: Pieces per hour is
exclusive of setup time.)
Answer:
(a) Stainless steel point included angle = 135.
L = 1/16 in. safety stock + 5/16/2 tan 67.5 + 7/8 full length thread + 1/16 extra thread = 1.07 in.
approx.
Time to drill = 1.07 x .61 = 0.65 min
Time to tap = 0.875 x 0.33 = 0.29 min
Total time = 0.65 + 0.33 = 0.94 min
(b) L = 1/16 safety stock + 1/4/2tan 59 + 1.3 1/24 extra thread for clearance = 1.42 approx.
Time to drill = 1.42 x 0.20 = 0.284 min
Time to tap = 1.3 x 0.33 (approx.) = 0.43 min
Total time per hole = 0.71 min
For 26 holes, total time = 18.54 min
Total cycle = 18.54 + 7.13 = 25.67 min
Pieces per hour = 2.3
Lot hours = 0.7 + 172(25.67/60) = 74.29 hr
7.17 (a) Find the cutting time for a hard copper shaft 2 in. O.D. x 20 in. long. A surface velocity of 250 fpm
is suggested with a feed of 0.009 in. per revolution. (Hint: This is a lathe turning operation.)
(b) An end facing cut is required of a 10-in. diameter work piece. The revolutions per minute of the lathe
are controlled to maintain 400 surface feet per minute from the center out to the surface. Feed is 0.009.
Find the time for the machining cut. (Hints: A facing cut is along the end of the bar stock, and the work
piece is held by a 3-jaw chuck allowing the tool to move free of interference. As the tool post moves from
the outside to the inside the work piece RPMs will increase to maintain a constant 400 fpm. The length of
cut for a lathe facing operation is _ x diameter.)
Answer:
(a) t
m
= LD/12Vf = 202/12(250).009 = 4.7 min
(b) D = 10 in.; V = sfpm; f = 0.009 ipr;. L = 5 in.
T
m
= 510/12(400)0.009 = 3.6 min
7.18 If the tool material grade is Kennametal 3H carbide, work material is AISI 4140 steel, depth of cut is
0.150 in., and the feed is 0.010 ipr, find the surface feet per minute for a 4-in. O.D. bar and a 6-min life if
the tool life equation VT
0.3723
= 1022. Also find the RPM.
Answer:
VT
0.3723
= 1022, then V = 1022/6
0.3723
= 525 fpm.
N = 12V/D = 12(525)/ 4 = 502 RPM
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7.19 Find the ratio of tool life using tungsten carbide to high-speed steel tool materials for a rough- turning
operation of cast iron. (Hint: Use Tables 7.2 and 7.3.) What is the average tool life increase using tungsten
carbide tool material?
Answer:
Tool Material Work Material Taylor equation Fpm Average tool life
HSS Cast iron VT
0.12
= 225 145 39 min
Carbide Cast iron VT
0.43
= 3000 500 65 min
Ratio = 65/39 = 1.7 or about 67% more life for the tungsten carbide.
7.20 Using the classical Taylor tool life model, and for the work and tool materials, find the cutting velocity
for a tool life of 20 min for each of these combinations.
Work Material Tool Material
Stainless steel Tungsten carbide
Medium carbon steel Tungsten carbide
Medium carbon steel High-speed steel
Gray cast iron Tungsten carbide
Answer:
Work Material Tool Material K n V
Stainless steel Tungsten carbide 400 0.16 248
Medium carbon steel Tungsten carbide 450 0.20 247
Medium carbon steel High-speed steel 190 0.11 136
Gray cast iron Tungsten carbide 3000 0.43 827*
* Probably above practical RPMs for equipment.
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7.21 A company is planning to turn thousands of bars for a long production run. As one step in the
planning, it conducts a Taylor test and following a field study of the AISI 3140 work material, lathe, and a
newly developed tool material, the tool-life curve in Fig. P7.21 is determined. The conditions of the test are
a feed of 0.013 ipr with a depth of cut of 0.50 in. Find the tool life for 100 fpm. What are the parameters for
VT
n
= K ? (Hint: Use the curve to determine n and K.)
How much time is necessary to machine the new-product design AISI 3140 bar stock if the
diameter and length are 2 in. O.D. and 27.125 in. for a life of 60 min if the feed is 0.0125 ipr? What are the
revolutions per minute?
Figure P7.21
Answer:
From graph, say 80 min = tool life for fpm = 100.
Finding the parameters of the tool life equation: Using points (fpm, tool life); (150, 2); (100, 80).
Then V T V T K
n n n n
1 1 2 2
150 2 100 80 = = = ; ( ) ( ) ; then log 1.5 = nlog 40; then n = 0.11, and K = 161.9
The equation: VT
0.11
= 161.9 is found from the graph.
At a life of 60 min, the equations gives V = 103 fpm, then t
m
= 27.1252/12(103)0.0125 = 11 min
N = 12V/D = 12(103)/ 2 = 197 RPM
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7.22 A Taylor tool-life performance test is conducted for a rough-turning operation of newly developed
carbon steel. The tool material is a recently developed grade of high-speed steel. The testing determines
VT
0.1
= 372.
An operation requires planning for optimum performance. The work material diameter is 4 in.
O.D. and the total cutting length is 20 in. The tool point costs $5 and time to change the tool after wear out
is 4 min. Part handling is 2 min and the operator wage is $20 per hour. The feed of the turning operation is
0.020 ipr for a depth of cut = 0.5 in.
(a) Find the optimum cutting velocity analytically and calculate the RPMs.
(b) Plot the handling, machining, tool-changing, and tool costs versus feet per minute to find the total cost
curve. Find the optimum cutting velocity graphically and what is the cost?
(Hints: Transform the four equations (7.1, 7.3, 7.7. and 7.8) to have the cost expressed in units of
V, and then substitute values of V from 50 to 350 in steps of 50 units. For example, handling cost =
$0.333/min x 2 min = $0.667, which is a constant. Again, machining cost = 349/V, and so on. You may
want to use a spreadsheet.)
(c) Let the cost of C
t
= 0 and compute V
max
, and T
min
.
(d) Find the cycle time, units per hour, and hr/100 units.
Answer:
(a)V
min
.
.
.
.
=

[
\
|

)
j
+ [
\
|

)
j
|
|
|
|
|
|
= =
372
1
01
1
0333 4 5
0333
222 212
1
fpm, rpm =
12(222)
3.14(4)
(b) Handling cost = C
o
t
h
= ($0.333/min)(2) = $0.667, which is a constant line and independent of V.
Machining cost = C
o
t
m
= 0.333 (204/12V(0.02) = 349/V
t
m
= 1047/V
average tool life T = (5.075 x 10
25
)/V
10
Tool cost = C
t
t
c
/T = 2.310 x 10
-19
V
9
Tool changing cost = 2.0631 x 10
-23
V
9
Cutting V Handling Cost Machining Cost Tool Cost Tool Changing
Cost
Total
Cost
50 0.333 6.98 0.000000 4.0E-08 7.313
100 0.333 3.49 0.000103 2.1E-05 3.823
150 0.333 2.33 0.003965 0.0008 2.665
200 0.333 1.75 0.052813 0.0106 2.142
222 0.333 1.57 0.135097 0.0270 2.068
250 0.333 1.40 0.393486 0.0787 2.202
300 0.333 1.16 2.030301 0.4061 3.933
350 0.333 1.00 8.129833 1.6260 11.086
Answer continued on next page
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7.22 Answer continued
T
min
= (1/n 1)t
c
= (1/.1 1)4 = 36 min
V
max
= K/T
max
n
= 372/36
.1
= 260 fpm
t
m
= 20(3.14)4/12(212).02 = 4.9 min
T = (372/212)
10
= 272 min
T
u
= t
h
+ t
m
+ t
c
(t
m
/T) = 2 + 4.9 + 4(4.9/272) = 6.97 min
Pieces per hour = 60/6.97 = 8.6
Hr/100 = 11.620
CHALLENGE PROBLEMS
7.23 Find the material cost and setup and cycle time for the fabrication of a pinion, part no. 4943806,
similar in all respects to Fig. 7.7 except for the following changes. (Hints: Work each sub-problem
separately; complete the operations process sheet and find the unit cost as demonstrated by Table 7.6.
Many work elements are similar to existing worksheets.)
(a) Let the 18.750-in. dimension be 8.750 in., the 1.100-in. dimension be 1.40 in., and no holes. (Hint: The
1.40 in. O.D. dimension is reduced to 1,75 in. length. Check it out!)
(b) Let the 4.75-in. flat dimension be 8.00 in. long, and the raw material be 2 in. O.D. instead of 1 3/4 in.
O.D.
(c) Let the 6-in. wide milling cutter be 3 in. in width for operation 30, and operation 10 will use high-
speed tool material instead of tungsten carbide.
(d) Let the material be medium carbon steel instead of stainless steel. Medium carbon steel costs $1.0/lb.
(e) Let the lot quantity be 1000 instead of 200.
Answer on next page:
Taylor's Tool Life
0.000
2.000
4.000
6.000
8.000
10.000
12.000
50 100 150 200 222 250 300 350
Cutting velocity, fpm
U
n
i
t

c
o
s
t
,

$
/
p
c
Handling Cost
Machining Cost
Tool Cost
Tool Changing Cost
Total Cost
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7. 23 Answer
(a)
Design length, in. 8.750
Facing length, in. 0.015
Cutoff length, in. 0.187
Total length, in. 8.952
No. of units per 12 ft bar 15
16.1
No. of bars per 200 lot quantity 14
Cost per bar 8.178 x 12 x 1.50 =$147.20
Lot cost for material 147.20 x 14 = $2061
Cost per unit 2061/200= $10.30
Operations process sheet for part no. 4943806.
Part no. 4943806 Material 430 F stainless steel
Part name Pinion Size 1.750 - 0.003
Quantity 200 Length 12 ft bars
Material unit
cost
$10.30
Workstation Op.
no.
Description of
operation
Setup
hr
Cycle
hr/100
units
Lot
hr
PHC Lot
cost
Unit
cost
Turret lathe 10 Position 2.9 5.100 13.1 39.16 $513 $2.57
Face 0.015
Turn rough 1.45
Finish turn 1.40
Turn 1.735
Cutoff to 18.75
Vertical mill 20 End mill 0.89 slot
with _ HSS end
mill & collet
1.8 8.067 42.1 90.98 $3833 $7.67
Horizontal
mill
30 Slab mill 4.75 x
3/8 (Nesting vise)
1.3 1.467 8.6 90.98 $785 $1.57
Total PHC lot cost $5131
Total PHC unit cost $11.81
Material, labor, and equipment
unit cost
$22.11
Worksheet for estimating setup and cycle for operation 10
A. Setup elements Hr
Punch in and out, study drawing 0.2
Collet 0.2
First facing tool 1.3
Additional 4 tools 1.2
Setup total, operation 10 2.9
Answer continued on next sheet
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7.23 Answer continued
B. Handling and other equipment time elements Min
Start and stop machine 0.08
Advance stock through feed tube, 8.952 in. 0.23
Place and remove oil guard 0.19
Speed changes, assume 4 x 0.04 0.16
End turret advance, return and index, 4 x 0.08 0.32
Cross slide advance, return 0.09
Inspect part with micrometer, irregular 1/5 x 0.30 0.06
Subtotal of handling and equipment elements 1.13
C. Calculation of machining times
Element Dim. Depth
of Cut
Length
of Cut,
L
d
Safety
stock,
L
s
L,
Length
D, Dia V,
Velocity,
fpm
f, feed
(ipr)
t
m,
,
min
1.Face 0.015 0.875 1/32 0.906 1.750 350 0.007 0.17
2.Rough
turn
1.45 0.15 6.5 1/32 6.53 1.750 350 0.015 0.57
3. Finish
turn
1.40 0.025 6.5 1/32 6.53 1.45 350 0.007 1.01
5.Turn 1.735 0.0075 0.5 1/32 0.53 1.75 350 0.007 0.10
6.
Cutoff
1.75 0.187 W 0.875 1/32 0.906 1.75 350 0.015 0.08
Subtotal of machining times 1.93
Total cycle time for handling and
machining, min
3.06
D. Entry values for operation sheet, operation 10
Setup hr 2.9
Hr/100 units 5.100
Worksheet for estimating setup and cycle for operation 20.
Entry values for operation sheet, operation 20
Setup hr 1.8
Hr/100 units 8.067
Worksheet for estimating setup and cycle for operation 30
Entry values for operation sheet, operation 30
Setup hr 1.3
Hr/100 units 1.467
Operation 40 is not required.
Answer continued on next page
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7.23 Answer continued
(b) Let the 4.75-in. flat dimension be 8.00 in. long, and the raw material be 2 in. O.D. instead of 1 3/4 in.
O.D.
Design length, in. 18.750
Facing length, in. 0.015
Cutoff length, in. 0.187
Total length, in. 18.952
No. of units per 12 ft bar 7
No. of bars per 200 lot quantity 29
Lb per ft of 2 in. O.D. bar
stock
10.68
Cost per bar 10.68 x 12 x 1.50 =$192.17
Lot cost for material 192.17 x 29 = $5572.87
Cost per unit 5572.87/200= $27.86
Part no. 4943806 Material 430 F stainless steel
Part name Pinion Size 2.000 - 0.003
Lot quantity 200 Length 12 ft bars
Material unit
cost
$27.86
Workstation Op.
no.
Description of
operation
Setup
hr
Cycle
hr/100
units
Lot
hr
PHC Lot
cost
Unit
cost
Turret lathe 10 Face 0.015 3.5 13.200 29.9 39.16 $1171 $5.85
Turn rough 2 in.
to 1.45 in.
Turn rough 1.45
Turn rough 1.15
Finish turn 1.10
Turn 1.735
Cutoff to 18.75
Vertical mill 20 End mill 0.89 slot
with _ HSS end
mill & collet
1.8 8.067 42.1 90.98 $3833 $7.67
Horizontal
mill
30 Slab mill 4.75 x
3/8 (Nesting vise)
1.3 1.467 8.6 90.98 $785 $1.57
N.C. turret
drill press
40 Drill 4-5/8 holes,
tap 3/8-16 (collet)
1.12 5.217 27.2 39.16 $1065 $2.13
Total PHC lot cost $6854
Total PHC unit cost $17.22
Material, labor, and equipment
unit cost
$45.08
Worksheet for estimating setup and cycle for operation 10.
A. Setup elements Hr
Punch in and out, study drawing 0.2
Collet 0.2
First facing tool 1.3
Additional 6 tools 1.8
Setup total, operation 10 3.5
Answer continued on next page
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7.23 Answer continued
B. Handling and other equipment time elements Min
Start and stop machine 0.08
Advance stock through feed tube, 18.952 in. 0.37
Place and remove oil guard 0.19
Speed changes, assume 5 x 0.04 0.20
End turret advance, return and index, 6 x 0.08 0.48
Cross slide advance, return 0.09
Inspect part with micrometer, irregular 1/5 x 0.30 0.06
Subtotal of handling and equipment elements 1.47
Calculation of machining times
Element Dim. Depth
of Cut
Length
of Cut,
L
d
Safety
stock,
L
s
L,
Length
D, Dia V,
Velocity,
fpm
f, feed
(ipr)
t
m,
,
min
1.Face 0.015 0.875 1/32 0.906 1.750 350 0.007 0.17
2.Rough
turn
1.45 0.15 16.5 1/32 16.53 1.750 350 0.015 1.44
Another rough turning element is required.
2.Rough
turn
1.45 0.15 16.5 1/32 16.53 1.750 350 0.015 1.44
3.Rough
turn
1.15 0.15 16.5 1/32 16.53 1.45 350 0.015 1.19
4. Finish
turn
1.10 0.025 16.5 1/32 16.53 1.15 350 0.007 2.03
5.Turn 1.735 0.0075 0.5 1/32 0.53 1.75 350 0.007 0.10
6.
Cutoff
1.75 0.187 W 0.875 1/32 0.906 1.75 350 0.015 0.08
Subtotal of machining times 6.45
Total cycle time for handling and
machining, min
7.92
Entry values for operation sheet, operation 10
Setup hr 3.5
Hr/100 units 13.200
Operations 20, 30, and 40 remain the same.
Parts (c), (d) and (e) are worked in a similar fashion.
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7.24 Sometimes it is cheaper to design and construct one multipurpose tool that will serve two or more
similar designs, that being less costly than an individual tool that will satisfy only one design. There are
complications that can thwart this practice, such as simultaneously scheduling of parts or whenever the
designs are so radically different that multipurpose tools are more expensive than if one tool were available
for each design. Though multipurpose tooling may, at first, appear to offer cost benefits, the operation cost
for different parts may cancel out many of those gains.
Two product designs are called Left Hand and Right Hand and are sufficiently similar to allow
multipurpose tools. Consider the following:
Left Hand Right Hand Both Hands,
Multipurpose
Cost of tool $47,500 $32,500 $62,000
Productive
hour cost
per unit
$1.92 $2.17 $2.03 (LH)
$2.65(RH)
Life time
units
83,000 27,500
Should two tools or one multipurpose tool be designed and constructed? (Hints: Productive hour cost per
unit includes direct labor and machine cost. Ignore material cost in the analysis.)
Answer:
Left Hand Right Hand Both Hands,
Multipurpose
Cost of tool $47,500 $32,500 $62,000
Total
operation
cost
$159,360 $59,675 $168,490
$72,875
Total tool
and
operation
cost
$206,860 $92,175 $303,365
If two tools are built, it will cost $299,035 versus the cost for one tool of $303,365. That is a close call, and
other conditions should be reviewed in the decision process. These quantities are the point of neutrality.
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7.25 A malleable-iron casting having an as-cast nominal diameter of 9 1/4 in. is rough turned to 8.600 -
0.005 in. for a length of 8.500 - 0.010 in. The feed for this turning operation is 0.020 ipr.
A renewable square carbide insert is used. The tungsten carbide insert has eight usable corners
suitable for turning work and costs $24. The time for the operator to remove the insert and install another
new corner and qualify the tool ready to cut is 2 min.
Operator and variable production costs are $60 per hour. Taylor's tool life equation for work and
tool material is VT
0.15
= 500. Robot handling time is 1.65 min for a casting mounted in a fixture.
(a) Determine optimum cutting velocity analytically. Find the RPM.
(b) Construct individual cost and total cost curves similar to Fig. 7.6. If the y axis is unit cost and x axis is
fpm, then plot the curves to locate the minimum cost. What is the range of cost if shop performance can be
expected to vary -10% from the optimum velocity.
(Hints: Transform the four equations (7.1, 7.3, 7.7. and 7.8) to have the cost expressed in
dimension of V, and then substitute values of V from 50 to 350 in jumps of 50 fpm units. A spreadsheet
analysis will be helpful. The diameter is the starting rough diameter of the casting.)
(c) Find the unit time T
u
, pieces per hour, and hr/100 units.
(d) Assume that the cost of the tooling C
pt
= 0 and find V
max
and T
min
..
(e). Find the time-vs.-velocity curves if C
pt
= 0.
Answer:
(a)
V
K
n
C t C
C
o c t
o
n
min
.
.
=

[
\
|

)
j
+ [
\
|

)
j
|
|
|
|
|
|
|
|
=

[
\
|

)
j
+ [
\
|

)
j
|
|
|
|
|
|
=
1
1
500
1
015
1
1 2 3
1
303
015
fpm
N = 12V/3.14(D) = 125 RPM. Note that the original diameter of 9.25 in. is used.
(b). C
o
= 1; t
h
= 1.65; L = 8.5; D = 9.25 (use starting dia); V = TBD; f = 0.020; n = 0.15; K = 500; t
c
= 2; C
t
= 3.
Handling cost = $1.65/unit
Machining cost = 1029/V
Tool changing cost = 2.09 x 10
-15
V
5.667
Tool cost per operation = 3.136 x 10
-15
V
5.667
Cutting V Handling
Cost
Machining
Cost
Tool Cost Tool
Changing
Cost
Total
Cost
Variation
100 1.65 10.29 0.001 0.000 11.94
150 1.65 6.86 0.01 0.004 8.52
200 1.65 5.15 0.03 0.023 6.85
250 1.65 4.12 0.12 0.081 5.97
273 1.65 3.77 0.20 0.134 5.75 -10%
300 1.65 3.43 0.34 0.228 5.650
303 1.65 3.40 0.36 0.241 5.649 optimum
333 1.65 3.09 0.62 0.412 5.770 10%
350 1.65 2.94 0.82 0.546 5.96
400 1.65 2.57 1.75 1.164 7.13
Answer continued on next page
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7.25 Answer continued
(c) T
u
= 1.65 + 3 + 2(3/28) = 4.86 min; pc/hr = 12.3, hr/100 = 8.107
(d) V
max
= 500/[(1/.15 1)2]
.15
= 347 fpm
T
min
= (1/.15 1)2 = 11.3 min
t
m
= L3.14D/12Vf = 8.5(3.14)9.25/12(347).02 = 3 min
The table can be recomputed, taking out the costs, and then the result gives optimum time. Also ignore the
purchase of the tool cost.
Cutting V Handling Machining tool change Total time
50 2 20.9 4.0E-08 22.9
100 2 10.5 2.1E-05 12.5
150 2 7.0 7.9E-04 9.0
200 2 5.2 1.1E-02 7.2
222 2 4.7 2.7E-02 6.7
250 2 4.2 7.9E-02 6.3
300 2 3.5 4.1E-01 5.9
350 2 3.0 1.6E+00 6.6
400 2 2.6 5.4E+00 10.0
(e)
Optimum velocity doesnt change much once the perishable tooling cost is forced to zero dollars. Its about
300 fpm, which is the same as above.
Taylor Tool Life for optimum time
0
5
10
15
20
25
50 100 150 200 222 250 300 350 400
Velocity, fpm
C
y
c
l
e

t
i
m
e
,

m
i
n
Handling time
Machining time
tool change time
Total time
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7.26 Estimate the total lot and unit cost for the design given by Fig. P7.26 for material, labor, overhead and
tooling. The quantity is 7500 units, which is produced in one lot. (Hints: The student will want to follow
these steps.)
(a) How many bars are necessary? Find the material cost for the lot order and unit. Raw material
bar stock is 3 in. O.D., 8 ft long, and is $1.75/lb. Density is 0.285 lb/in.
3
The cutoff and facing length is 1/8
in. and 0.015 in.
(b) Find the setup, cycle min, hr/100 units for the two operations for entry to a operations process
sheet. (Hint: Using a method similar to Table 7.6.) The operations area as follows:
Operation 10: Face, turn, chamfer, drill, and ream the 0.375 in. hole and cutoff with a turret lathe
Operation 20: Drill and counter bore three holes with a drill press.
(c) Prepare an operations sheet and find the operation cost for the unit and lot. Productive hour
costs for turning and drilling are $75 per hour. (Hint: Use the following tabular approach:)
Workstation Op.
No.
Description Setup Hr/100 Lot Hr PHC Lot
Cost
Unit
Cost
(d) Find the total and unit tool cost. A small drill jig with pneumatic clamping is necessary for the
0.25 in. drill and counterboring operation. Tool design is expected to cost $8000, and the PHC for tool
building is $100 per hour. (Hints: The tool cost is estimated using the part print, rather than the tool design,
meaning visualize the elements of a tool design as suggested by Table 7.11. There are three removable slip
bushings that come out for the counterboring. Expect about 4 lb for the jig. Make any material adjustments
for missing data based on local experience.)
(e) Using an operations sheet approach, estimate the total lot and unit cost of material, operations
and tooling.
Figure P7.26
Answer on next page
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7.26 Answer
(a) Material in each piece:
Cutoff length, in. 0.125
Facing length, in. 0.015
Length of finished piece, in. 1.000
Total length, in. 1.14
8 ft/bar x 12 in./ft x 1 pc/1.14 = 84 pc/bar
7500 pc/84 = 90 bars required
Material cost for 90 bars.
90 x /4 (3)
2
x 96 x 1.75 x 0.285 = $30,445
Unit material cost $4.06
(b)
Setup for operation 10 Freq. Hr
Punch in and out, study drawing 0.2 0.2
First tool 1.3 1.3
Each additional tool 5 0.3 1.5
Collet fixture 0.2 0.2
Total setup 3.2
Cycle handling & non-machine time for operation 10 Freq. Time Min
Start and stop machine 0.08
Change speed 6 0.04 0.24
Air clean part or fixture 0.06
Brush chips 0.14
Inspect dimension with micrometer 1/10 0.30 0.03
End turret advance, return, and index 5 0.08 0.40
Cross slide advance, return, and index 1 0.09
Advance stock through feed tube 0
in. length < 6 0.18
Place, remove oil guard 0.19
Subtotal of handling & other non-machining 1.41
Element Dim Depth
Of cut
Len
of cut
Safety L Dia fpm ipr f
dt
t
m
Face 3.00 0.015 1.5 1/32 1.53 3 400 0.007 0.43
Turn 3.00 0.0625 1 1/32 1.03 3 400 0.007 0.28
Chamf 3.00 .12 0.12 1/32 .15 3 400 0.007 0.04
Drill 5/16 1.25 1/32 1.28 0.23 0.29
Ream 0.375 1.05 1/32 1.08 0.23 0.25
Cutoff W -1/8 1.45 1/32 1.48 2.875 400 0.007 0.40
Subtotal machining time 1.69
Subtotal handling and other machine data 1.41
Total cycle time min 3.10
Hr/100 5.167
Setup hr 3.2
Answer continued on next page
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7.26 Answer continued
Setup for operation 20 Hr
Punch in and out, study drawing 0.2
Jig 0.1
First turret for _ hole 0.75
Additional turret for counterbore 0.07
Setup for op. 20 1.12
Cycle handling elements for operation 20 Freq Time Min
Start and stop machine 0.08
Air blow fixture 0.06
Pick up part, move, and place; remove and lay aside
5 lb < 10 0.16
Air cylinder, clamp part 0.05
Remove bushing, re-install 3 0.07 0.21
Change tool, each size 2 0.06 0.12
Raise tool, position table to new location, lower tool
ready for drilling, per hole position for drill and
cbore
6 0.06 0.36
Index turret, each or change drill for cbore 2 0.03 0.06
Subtotal handling and other non-machining time 0.96
Cycle drilling, cboring for operation 20 Freq L f
dt
Min
Drill _ in. hole 3 1.2 0.20 0.72
3/8 in. cbore 3 .4 0.25 0.30
Subtotal drilling and cbore times 1.02
Total cycle time min 1.98
Hr/100 3.300
Setup hr 1.12
(c)
Labor and equipment cost
Workstation No. Description Setup Hr/100 Lot Hr PHC Lot Cost Unit Cost
Turret lathe 10 Position 3.2 5.167 391 75 29,303 3.907
Face 0.015
Turn rough
1.45
Turn finish
1.436
Drill 0.25
Ream 0.375,
1 in. deep
Cutoff to
length
Drill press 20 Position 1.12 3.300 248.6 75 18,646 2.49
Drill 3-0.25
holes
Cbore 3
holes
Total labor and equipment cost $47,949 $6.39
Answer continued on next page
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7.26 Answer continued
(d)
Tool estimate for Fig. P7.26, drill fixture
Tool type: Small drill fixture with hinge top, three
bushings
Tool material: Hardened high carbon steel alloy, 4 lb
Description of part: Flat block with three accurately located
holes, and removable slip bushings
Description of tool elements Hr
Angular base plate, C-angle 5.0
Slip bushings, 3 6.0
Hinge plate 12.0
Feet, 3 7.5
Pin locators, 3 5.4
Total 35.9
Productive hour cost for tool making $100
Cost of tool, 44.8 x 75 $3590
Material cost, $25/lb 100
Design cost $8000
Total cost of tool $11,690
Unit cost of tool $1.56
(e)
Cost of operations, material, tooling
Element Lot Cost Unit Cost
Material $30,445 $4.05
Operations $44,485 $5.93
Tooling $11,690 $1.56
Total $86,620.00 $11.54
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7.27 Find the unit cost for flow line production which consists of three stations for an electronic product
assembly. There are 1750 printed circuit boards produced. The flow line starts with a pre-drilled printed
circuit board obtained from a supplier costing $0.93 each. Designed tooling are holding fixtures, special
grippers and a sled for wave soldering. Information is estimated as follows:
Station Machine Component
Insertion
Manual
Stuffing
Wave
Solder
Setup time, hr 1.6 0.5 1.2
Cycle time, min/unit 3.75 5.13 0.65
PHCR, $/hr $78.25 $27.25 $110.73
Direct materials, $/unit-operation $17.62 $1.29 $0.85
Designed tooling, $/operation $283 $18.46 $73.09
Answer:
Station Machine Component
Insertion
Manual
Stuffing
Wave
Solder
Calculation
Max setup, hr 1.6 1.6 1.6
Max cycle, hr per unit 0.086 0.086 0.086
Cost of setup $125.20 $43.60 $177.17 $345.97
Flow line cost for cycle time,
$/lot
.086 x 78.25 x 1750 =
11,708
4,101 16,664 $32,473
Initial direct material, $/lot $1,627.50
Added material, $/lot $30,825 $2,257.50 $1,487.50 $34,570.00
Tooling cost $283 $18.46 $73.09 $374.55
Total cost $69,362
Unit cost $39.63
Pearson Education, Inc. 7-26
Pearson Prentice Hall, Pearson Education, Upper Saddle River, NJ 07458
Ostwald and McLaren / Cost Analysis and Estimating for Engineering and Management
7.28 Can making of the 12 oz. beverage container is very large volume, and a can plant will make billions
per year. We are interested in finding the cost per can for material, labor, tooling, and equipment.
The description of 10 operations for the body part of the three-piece can is shown below:
Operation Description
Material Cost Per Can
For Operation
Yield Of
Operation Min Per Can
Cost Per
Minute
1. Blanking and cupping 0.0350 0.9800 0.00026 $5.42
2. Draw and iron 0.9750 0.00026 4.58
3. Trim top of can 0.9500 0.00500 2.33
4. Wash and dry 0.0001 0.9990 0.00020 3.00
5. Decorate and overcoat 0.0003 0.9988 0.00049 3.17
6. Oven cure for internal coating 0.9988 0.00020 2.08
7. Internal spray and bake 0.0002 0.9975 0.00167 3.00
8. Neck and flange 0.9400 0.00163 4.67
9. Inspection of cans 0.9990 0.00045 1.25
10. Palletize and storage 0.9925 0.00020 8.33
Initially the can is blanked and cupped from aluminum coil stock, and material is added in
operations 4, 5, and 7.
Yield effects are given for each operation, and each operation reduces the quantity throughput
because of waste losses due to processing. For example, a desired output of 1 million cans after operation
10 is 1,007,557 units (= 1,000,000/0.9925), which are required as input. Because of yield losses for
operation 9, input is 1,008,000 units (= 1,007,557/0.9990). Each operation has yield losses, and the
algorithm is to work upwards to operation 1to find the incoming number of units to give a final output of
1,000,000 units. The yield effect hurts the system as the waste means that earlier operations lose not only
the material but also the productive cost to produce the unit.
The production is a pull system where queues are avoided, and successive operations have
higher throughput in order to prevent storage. This may mean additional and intermediate equipment to
keep the cans moving such as diverging and converging chains. The production rate for each operation is
given by minutes per can
Conveyor, equipment, tooling and space cost is summarized by the cost per minute for each
operation.
Find the cost of material and the cost of each operation. Find the total cost for each can and for 1
million cans.
Answer on next page


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Pearson Education, Inc. 7-28
Pearson Prentice Hall, Pearson Education, Upper Saddle River, NJ 07458
Ostwald and McLaren / Cost Analysis and Estimating for Engineering and Management
PRACTICAL APPLICATION
There are many opportunities for a practical experience in operations estimating. Your instructor may
suggest several. One possibility is to visit a contract production shop and interview the engineering
manager responsible for cost analysis of the quotation procedure. Prepare a list of questions in anticipation
of the visit. Be professional in the arrangements of the interview, and afterwards write a report detailing the
lessons that you have learned. Send them a courtesy letter expressing your thanks after the interview.
CASE STUDY:
Estimate the unit cost of the design given by Fig. C7.1 for material, tooling and labor and overhead. The
annual quantity is 1500 units, and material is purchased and produced in three equal-sized lots.
Bar stock, stainless steel 430 Ferritic material, is 6-in. O.D., 6-ft long, and is $2.25/lb. Density is
0.275 lb/in.
3
Two operations are necessary:
Operation 10: Face, turn the 5.88 in. dia, drill, ream and countersink the 0.375-in. hole, turn the
4.5000/4.995-in. dia, and cutoff and chamfer (Hint: Cutoff and chamfer are one tool.) in a lathe.
Operation 20: Drill, tap, and counterbore six holes. A drill jig is necessary for the drill,
counterbore, drill-tap, and tap operation. (Hint: The following hole schedule is given for operation 20:)
Specification Tool No.
holes
5/16 in. 1 in. long 5/16 in. drill for cap screw 3
_ in. socket head cap screw 0.25 in. long 3/8 in. flat bottom cbore for socket head 3
3/16 in. drill full-length hole 3
20 thread/in. tap 3
Productive hour cost rates for turning and drilling are $75 and $40 per hour. Tool design is
expected to cost $5000, and the PHC rate for tool building is $100 per hour.
After the analysis and cost estimate are complete, discuss the following: What are the higher cost
elements of the work, and where can cost reduction be suggested to the designer? What can be done to
reduce the cost of the design? For this advice, what is the dollar and percentage reduction?
Case study continued on next page
Pearson Education, Inc. 7-29
Pearson Prentice Hall, Pearson Education, Upper Saddle River, NJ 07458
Ostwald and McLaren / Cost Analysis and Estimating for Engineering and Management
Case study continued
Figure C7.1
Answer:
(1) Material in each piece:
Cutoff length, in. 0.187
Facing length, in. 0.015
Length of finished piece, in. 1.000
Total length, in. 1.202
6 ft/bar x 12 in./ft x 1 pc/1.202 = 59 pc/bar
500 pc/59 = 9 bars required
Material cost for 9 bars.
9 x /4 (6)
2
x 72 x 2.25 x 0.275 = $11,331
Unit material cost $22.66
Answer continued on next page
Pearson Education, Inc. 7-30
Pearson Prentice Hall, Pearson Education, Upper Saddle River, NJ 07458
Ostwald and McLaren / Cost Analysis and Estimating for Engineering and Management
Case study answer continued
(2)
Setup for operation 10 Freq. Hr
Punch in and out, study drawing 0.2 0.2
First tool 1.3 1.3
Each additional tool 7 0.3 2.1
Collet fixture 0.2 0.2
Total setup 3.8
Cycle handling & non-machine time for operation 10 Freq. Time Min
Start and stop machine 0.08
Change speed 8 speed changes, one for each tool 9 0.04 0.32
Air clean part or fixture 0.06
Inspect dimension with micrometer, the .0005 dim 1/10 0.30 0.03
End turret advance, return, and index 6 0.08 0.48
Cross slide advance, return, and index 2 0.09 0.18
Advance stock through feed tube 0
in. length < 6 0.18
Place, remove oil guard 0.19
Subtotal of handling & other non-machining 1.52
Element Dim Depth
Of cut
Len
of cut
Safety L Dia fpm ipr f
dt
t
m
Face 6 0.015 3 1/32 3.03 6 350 0.007 1.94
Turn 5.88 0.0625 1 1/32 1.03 6 350 0.007 0.66
Drill 5/16 1.25 1/32 1.28 0.61 0.76
Ream 0.375 1.05 1/32 1.08 0.61 0.66
Csink 0.25 1/32 0.28 0.61 0.17
Turn 4.5000 0.25 1/32 0.28 5.88 350 0.007 0.18
Cutoff &
chamfer
W
3/16
2.25 1/32 2.28 4.5 350 0.007 1.10
Subtotal machining time 5.47
Subtotal handling and other machine data 1.52
Total cycle time min 6.99
Hr/100 11.650
Setup hr 3.8
Setup for operation 20 Hr
Punch in and out, study drawing 0.2
Jig 0.1
First spindle for _ hole 0.75
Additional turret for counterbore,
tap, and tap-drill
0.21
Probably need four tools. Since
the _ tap will need a drill that is
smaller than _.
Setup for op. 20 1.26
Case study answer continued on next page
Pearson Education, Inc. 7-31
Pearson Prentice Hall, Pearson Education, Upper Saddle River, NJ 07458
Ostwald and McLaren / Cost Analysis and Estimating for Engineering and Management
Case study answer continued
Cycle handling elements for operation 20 Freq Time Min
Start and stop machine 0.08
Air blow fixture 0.06
Pick up part, move, and place; remove and lay aside
5 lb < 10 0.16
Remove & reinsert slip bushings 6 0.07 0.42
Change tool, each size 4 0.06 0.24
Raise tool, position table to new location, lower tool
ready for drilling, per hole position for drill and
cbore
12 0.06 0.72
Turn over for back side work, guess 0.15
Index turret, each or change drill for cbore 4 0.03 0.12
Subtotal handling and other non-machining time 1.81
Cycle drilling, cboring, tapping for operation 20 Freq L f
dt
Min
Drill 5/16 in. hole 3 1.2 0.61 2.20
Drill 3/8 in. hole cbore, but using drill data 3 0.3 0.65 0.59
3/16 in. drill 3 0.3 0.55 0.50
Tap 0.250-20 x 0.67 3 0.67 0.30 0.60
Subtotal drilling and cbore times 3.89
Total cycle time min 5.70
Hr/100 9.500
Setup hr 1.26
(3)
Labor and equipment cost
Work
station
No. Description SU Hr/100 Lot Hr PHC Lot Cost Unit Cost
Turret
lathe
10 Position 3.8 11.650 62.1 75 $4654 $9.31
Face
Turn
Drill
Ream
Csink
Turn
Cutoff &
chamfer
Drill
press
20 Position 1.26 9.500 48.8 40 $1950 $6.45
Total cost of labor and
equipment
$6604 $13.20
Case study answer continued on next page
Pearson Education, Inc. 7-32
Pearson Prentice Hall, Pearson Education, Upper Saddle River, NJ 07458
Ostwald and McLaren / Cost Analysis and Estimating for Engineering and Management
Case study answer continued
(4)
Tool estimate for Figure C7.1, drill jig
Tool type: Small drill jig without hinge top, six
bushings
Tool material: Hardened high carbon steel alloy, 5 lb
Description of part: Round block with six accurately located
holes, and six removable slip bushings
Description of tool elements Hr
Flat Base plate 8.0
Slip bushings, 6 12.0
Feet, 3 x 7.5
Total 27.5
Productive hour cost for tool making $100
Cost of tool, 27.5 x 100 2750
Material cost, $25/lb 100
Design cost $5000
Total cost of tool $7850
Unit cost of tool, divide by 1500 $5.23
(5)
Cost of operations, material, tooling
Element Lot Cost Unit Cost
Material for
500 Q
$11,331 $22.66
Operations
for 500 Q
$6604 $13.20
Tooling on
basis of
1500 Q
$7850 $5.23
Total $25,785.00 $41.09
Instructor discussion: This actual part design has overstated tolerances on hole locations, especially for
socket head screws and tapped holes, which can be reduced to 0.00x in. rather than 0.000x in. for the socket
holes. The design is a conversion from fractional dimensions to decimal dimensions and the drafts-person
made accurate conversions, not realizing that the effect of tolerance on cost. (Once again, we are victims of
the English system.) Indeed, the tolerance for this problem will encourage 6 slip bushings, but even that is
for teaching lesson, and I would recommend against a real design having bushings to guide the drill for
socket head screws for this crazy design. Further, it is also very possible that typical machine shops will be
able to hold tolerances for thousandths place without any hard tooling. It is likely that the hard tool could
be eliminated. You might want to see what happens when the design is changed to reflect this over-design.

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