3.2.1 - Fuel Cost Estimation
Enroll to start learning
You’ve not yet enrolled in this course. Please enroll for free to listen to audio lessons, classroom podcasts and take practice test.
Practice Questions
Test your understanding with targeted questions
Define ownership costs.
💡 Hint: Think about what costs arise from owning equipment.
What is the fuel consumption factor?
💡 Hint: Consider how manufacturers might specify usage.
4 more questions available
Interactive Quizzes
Quick quizzes to reinforce your learning
What is included in ownership costs?
💡 Hint: Think about the costs associated with ownership.
True or False: The Peurifoy method does not consider the time value of money.
💡 Hint: Reflect upon how time influences asset evaluations.
1 more question available
Challenge Problems
Push your limits with advanced challenges
A company has a bulldozer that costs $120,000 with a salvage value of $15,000 and is expected to operate for 10,000 hours. Calculate the hourly depreciation and discuss why this can affect overall project costs.
💡 Hint: Focus on covering depreciation over the useful life.
You need to estimate the total operating costs for an excavator, including a fuel factor of 0.5 gallons/hp/hr, running at 180 hp over 8 hours. Calculate the fuel cost if fuel is $3 per gallon.
💡 Hint: Follow the rate of consumption closely.
Get performance evaluation
Reference links
Supplementary resources to enhance your learning experience.