4.3.1. Major vs. Minor Repair Cost

Try these first

1. 1.

   What are operating costs?

   Hint

   Think about what happens when you operate a machine.

2. 2.

   Give an example of a major repair cost.

   Hint

   Consider what parts of a machine are significant.

3. 3.

   What is considered a minor repair cost?

   • Replacing an engine
   • Changing a spark plug
   • Repainting the machine

   Hint

   Think about the extent of work and parts changed.

4. 4.

   True or False: Major repairs always occur regardless of usage of the equipment.

   • True
   • False

   Hint

   Consider how ownership of machinery works.

5. 5.

   A generator is expected to operate for 150 hours at a minor repair cost of ₹120 per hour. Calculate the total expected minor repair costs across its usage.

   Hint

   Use multiplication to find total costs.

6. 6.

   If a contractor can reduce minor repair costs by 20% through proper maintenance and the original estimate was ₹30,000, what would be the new estimated minor repair cost?

   Hint

   Calculate the percentage reduction first.