How to Calculate Average Production Cost of each component?
Average Production Cost of each component calculator uses Production Cost of Each Component = Cost of a Tool*(Setup Time+Machining Time)+(Number of Tools Used/Batch Size)*((Cost of a Tool*Tool Changing Time)+Cost of a Tool) to calculate the Production Cost of Each Component, The Average Production Cost of each component is defined as the total cost of producing a single component from scratch including all necessary operations and processes. Production Cost of Each Component is denoted by Cpr symbol.
How to calculate Average Production Cost of each component using this online calculator? To use this online calculator for Average Production Cost of each component, enter Cost of a Tool (Ct), Setup Time (ts), Machining Time (tm), Number of Tools Used (Nt), Batch Size (Nb) & Tool Changing Time (TCT) and hit the calculate button. Here is how the Average Production Cost of each component calculation can be explained with given input values -> 11400 = 80*(54+69)+(3/2)*((80*12)+80).