1.6 - Productivity Adjusted Cumulative Downtime Costs
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Practice Questions
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What is the downtime cost per hour if the equipment cost is 900 rupees?
💡 Hint: Use the percentage formula.
Calculate the annual downtime cost for 2000 hours with the hourly downtime cost of 27 rupees.
💡 Hint: Multiply the hourly rate by the total hours.
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Interactive Quizzes
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What is the downtime cost per hour if the equipment cost is 900 rupees?
💡 Hint: Remember the percentage calculation.
Cumulative downtime cost is calculated by adding yearly costs.
💡 Hint: Think about how accumulating costs work.
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Challenge Problems
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Imagine your machine incurs downtime costs rising annually by 10%. If it starts at 54,000 rupees in Year 1, what will its cumulative cost be by the end of Year 3?
💡 Hint: Calculate yearly costs first then sum them.
If another machine costs 80% the price of the initial machine but has only 1/3 of the downtime, calculate its productivity cost advantage over three years.
💡 Hint: Setup equations considering the new machine's advantages in less downtime and lower costs.
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