The following labour processes are defined for Fitting A.
When Fitting A is applied to an estimate, its dimensions are calculated. They are 12mm (depth) plate with a length of 381mm and a width of 219mm. Assuming all rates are GBP25 per hour, the following times and costs are derived.
Process |
Time taken |
Cost |
Quantity |
Explanation |
Cutting |
12 |
5.00 |
1 |
The depth of Fitting A is 12mm, so the first cutting line, which deals with depths of up to 15mm, is used. One cut is made and it takes 12 minutes. The second cutting line is ignored as Fitting A falls outside of the specified size interval of up to 10mm. |
Punching |
8 |
3.33 |
4 |
The punching line deals with fittings with lengths of up to 500mm. Fitting A is 381mm long, so this line applies. For every fitting with a length less than 500mm, 4 holes are punched and each hole takes 2 minutes. This process, therefore, takes 8 minutes. |
Handling |
3 |
1.25 |
1 |
The handling line deals with fitting with lengths of up to 1500mm. Fitting A is 381mm long, so this line applies. For every fitting with a length less than 1500mm, the handling time is 3 minutes. |