Construction Engineering & Management - Vol 1 | 13. Estimating Equipment Cost Using Two Methods by Abraham | Learn Smarter
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Knowledge
13. Estimating Equipment Cost Using Two Methods

The chapter delves into the estimation of equipment costs, primarily focusing on ownership and operating costs. It outlines two prominent methods, the Caterpillar method and the Peurifoy method, for accurately assessing these costs. Key components such as depreciation, annual usage, interest rates, and labor costs are elaborated upon to provide a comprehensive understanding of equipment management in construction.

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Sections

  • 1

    Estimating Equipment Cost Using Two Methods

    This section discusses two methods for estimating equipment costs, focusing on ownership and operating costs through practical examples.

    Learning Practice

  • 1.1

    Ownership And Operating Cost Overview

    This section provides an overview of ownership and operating costs associated with heavy equipment, using specific examples to illustrate cost estimation methodologies.

    Learning Practice

  • 1.2

    Introduction To The Off Highway Truck

    This section introduces off-highway trucks, their cost estimation methods, and essential operational details.

    Learning Practice

  • 2

    Ownership Cost Calculation

    This section explores the calculation of ownership costs for equipment, specifically focusing on the Caterpillar and Peurifoy methods.

    Learning Practice

  • 2.1

    Depreciation Calculation

    This section discusses how to calculate depreciation for equipment costs, using an example of a dump truck to illustrate the methods.

    Learning Practice

  • 2.2

    Annual Use And Hourly Usage Discussion

    This section discusses the estimation of ownership and operating costs for heavy equipment, focusing specifically on a dump truck example.

    Learning Practice

  • 2.3

    Total Cost Calculation Using Caterpillar Method

    This section details the Caterpillar method for calculating total equipment costs, considering both ownership and operating costs.

    Learning Practice

  • 3

    Operating Cost Estimation

    This section discusses methods for estimating the operating costs of equipment, particularly focusing on ownership and operational expenses using various calculation methods.

    Learning Practice

  • 3.1

    Fuel Cost Calculation

    This section explains how to calculate fuel costs as part of the total ownership and operating costs of heavy equipment.

    Learning Practice

  • 3.2

    Filter, Oil, Grease (Fog) Cost Estimation

    This section discusses the estimation of equipment costs using ownership and operating costs, particularly focusing on Filter, Oil, Grease (FOG) components.

    Learning Practice

  • 3.3

    Tire Cost Calculation

    This section explores the calculation of tire costs, ownership, and operating costs related to heavy equipment, highlighting methodologies for accurate cost estimates.

    Learning Practice

  • 3.4

    Repair Cost Calculation

    This section breaks down the methodology for calculating repair costs in equipment management, focusing on ownership and operating costs.

    Learning Practice

  • 3.5

    Total Operating Cost Calculation

    This section outlines the methodology for calculating total operating costs, including ownership, operating wages, and equipment costs using provided examples.

    Learning Practice

  • 4

    Total Cost Overview

    This section discusses the estimation of total cost for equipment ownership and operation, focusing on methods like the Caterpillar method and the Peurifoy method.

    Learning Practice

  • 4.1

    Total Equipment Cost Calculation

    This section introduces the methods of calculating total equipment costs, including ownership and operating costs.

    Learning Practice

  • 5

    Peurifoy Approach To Equipment Cost Estimation

    This section explains the Peurifoy approach to estimating equipment costs by detailing ownership and operating costs using example calculations.

    Learning Practice

  • 5.1

    Introduction To Peurifoy's Method

    This section introduces Peurifoy's Method for estimating equipment costs through ownership and operating costs.

    Learning Practice

  • 5.2

    Ownership Cost Calculation According To Peurifoy

    This section delves into estimating ownership and operating costs of equipment as outlined by Peurifoy, specifically focusing on a dump truck example.

    Learning Practice

References

5 b.pdf

Class Notes

Memorization

What we have learnt

  • Estimating equipment costs ...
  • The Caterpillar method prov...
  • The Peurifoy method emphasi...

Final Test

Revision Tests