ESTIMATION AND COSTING| Machine Tool Technology | DIPLOMA 5th and 6th Semester | mechanical engineering

ESTIMATION AND COSTING

	Course Title: ESTIMATION AND COSTING
	Scheme (L:T:P) : 4:0:0	Total Contact Hours: 52	Course Code: 15ME61T
	Type of Course: Lectures, Self Study & Quiz	Credit :04	Core/ Elective: Core
CEE:25 Marks                                                                                                                  SEE:100 Marks
Prerequisites: Knowledge of Mathematics, Work shop technology, Machine Tool Technology
Course Objectives:

This course will also help in developing the skills required in Estimate production/operation cost for budgeting and analysis.

 

 Course Outcomes:                                                                                                     

On successful completion of the course, the students will be able to attain CO:

 

Course Outcome		CL	Linked PO	Teaching Hrs
CO1	Understand the concept of estimation and costing. Analyze the concept of depreciation cost.	R/U/A/Ev	1,2	08
CO2	Know the components of costing and Determine material cost of simple machine components.	R/U/A/Ev	1,2	10
CO3	Ability    to                estimate           the                various machining operations.	R/U/A	1,2	10
CO4	Ability    to                estimate           the                various Welding & Sheet metal components.	U/A	1,2	09
CO5	Ability to estimate the various Forging & Foundry Shop components.	U/A	1,2	09
CO6	Understand the concept of Process costing, and types of Budget, and familiarize with accounting terminology.	U	1,2	06
		Total sessions		52

Legend: R: Remember U: Understand A: Application An: Analysis

 COURSE-PO ATTAINMENT MATRIX                                                                                                                         

 

Course	Programme Outcomes
	1	2	3	4	5	6	7	8	9	10
ESTIMATION AND COSTING	1	3	0	0	0	0	0	0	0	0
Level 3- Highly Addressed, Level 2-Moderately Addressed, Level 1-Low Addressed. Method is to relate the level of PO with the number of hours devoted to the COs which address the given PO. If >40% of classroom sessions addressing a particular PO, it is considered that PO is addressed at Level 3 If 25 to 40% of classroom sessions addressing a particular PO, it is considered that PO is addressed at Level 2 If 5 to 25% of classroom sessions addressing a particular PO, it is considered that PO is addressed at Level 1 If < 5% of classroom sessions addressing a particular PO, it is considered that PO is considered not-addressed

 

 COURSE CONTENT AND BLUE PRINT OF MARKS FOR SEE                                                                                                     

 

Unit No	Unit Name	Hour	Questions to be set for SEE/Marks			Marks weightage	weightage (%)
			R	U	A
1	Introduction to Estimation & costing	08	5	5	10	20	13.79
2	Estimation of materials cost	10	5	5	20	30	20.68
3	Estimation of Cost in machine shop	10	5	10	20	35	24.16
4	Estimation of Cost in Welding & Sheet metal shop	09	-	5	20	25	17.24
5	Estimation of Cost in Forging shop & Foundry Shop	09	-	5	20	25	17.24
6	Process costing & Accounting	06	-	10	-	10	6.89
Total		52	15	40	90	145	100

Legend: R; Remember, U: Understand A: Application

Estimation - Definition, Importance and Aims- Qualities and functions of an Estimator-

Source of errors in estimation- Constituents of Estimation- Costing - Definition and Aims - Difference between costing and estimating- - Depreciation and obsolescence: Definition, types, different methods of calculating depreciation- numeric examples.

Material  -  Direct  material,  indirect  material  and  examples- Calculation  of Material  cost -

Labour - direct, indirect labour and examples - Calculation of labour cost - Expenses - direct, indirect expenses and examples- Classification of expenses - factory, administrative, selling and distribution expenses - Fixed and variable expenses - Components of cost - prime cost, factory cost, office cost, total cost - Block diagram to show the relationship between elements and components of cost  -Determination of selling price  - Break  even analysis  - break event

chart, diagram to illustrate break event point-Estimation of materials cost of step pulley, spindle lathe centre, Rivets, Fly wheel, Crankshaft, Chain link, Wedge and Gib-headed key.

 

The terminology associated with machine shop estimation- Definition of cutting speed, feed, depth of cut- Procedure of estimating cost of machined part for following operations: Lathe operations (Facing, outside/inside turning, boring, drilling on lathe, grooving and threading). Drilling operations (Drilling, reaming, tapping)-Shaping operations- Milling operations (Face milling, side and face cutting, end milling)- Cylindrical grinding operations (Plain cylindrical grinding)- For given machined part, estimate material cost and machining cost.

 

Estimation in welding shop - gas welding cost, arc welding cost - production cost of given welding job- the types of welding costs- the factors affecting the welding cost.

Estimation in sheet metal shop - Sheet material and gauge number, Sheet metal joints - Estimate the material required for preparation of container open on one side, Cylindrical drum, funnel and tray.

 

Cost terminology associated with forging shop- The procedure for calculating material cost of a product for forging shop- Procedure for estimating forging cost- forging losses to be considered while estimating -Estimation of forging cost.

Estimation in foundry shop-pattern allowances- The procedure for calculating material cost of a product for foundry shop - Procedure for estimating cost of pattern making. -Procedure for estimating foundry cost of components such as C.I pulley and C.I. Wheel and estimate foundry cost.

 

Process & Job Costing -Characteristics -Principles -Procedure for Process costing.

Wages-types, Incentives-types, Budget-Types, Accounting terminology like -book value-Net Present Value-Work in progress- Gross Domestic Product (GDP)-balance sheet-Tendering- manual tendering and e-tendering.

¨TEXT BOOKS

 

Sl.No.	Title of Books	Author	Publication
1.	Mechanical estimation and costing	T.R.Banga and S.C.Sharma	Khanna publishers
2.	Mechanical Estimation	Malhothra	-
3	Industrial Organisation and Engineering Economics	T.R.Banga and S.C.Sharma	Khanna publishers
4.	Mechanical Estimation	NITTTR Chennai	NITTTR Chennai
5	Mechanical costing and estimation.	Singh and Khan	Khanna Publishers
6	Process planning & cost estimation	M.Adithan	New age International

 LIST OF SOFTWARES/ LEARNING WEBSITES:                                                                                                     

 

i.               http://calculatoredge.com/index.htm#mechanical

 

 SPECIAL INSTRUCTIONAL STRATEGIES                                                                                                     

 

UNIT NO	UNIT NAME	STARATEGIES
1	Introduction     to                         Estimation                         & costing	Lectures, Discussions Presentations
2	Estimation of materials cost	Demonstration of method to estimate cost taking live demonstration at work shop place, steps based handouts
3	Estimation of Cost in machine shop	Demonstration of method to estimate cost taking live demonstration at work shop place, steps based handouts
4	Estimation of Cost in Welding & Sheet metal shop	Demonstration of method to estimate cost taking live demonstration at work shop place, steps based handouts
5	Estimation of Cost in Forging shop & Foundry Shop	Demonstration of method to estimate cost taking live demonstration at work shop place, steps based handouts
6	Process costing& budget	Discussions, real life industries situation, industrial visits

 

 SUGGESTED LIST OF STUDENT ACTIVITYS                                                                                                     

Note: the following activities or similar activities for assessing CIE (IA) for 5 marks (Any one)

·       Each student should do any one of the following type activity or similar activity related to the course and before take up, get it approved from concerned Teacher and HOD.

·       Each student should conduct different activity and no repeating should occur

 

1	Collect the finished parts from industries/market/scrap merchants Measure the dimensions and prepare production drawings of the parts using A4 size paper. Estimate the material cost
2	Welding estimation: a.  Determine raw material volume for all welded parts. b.  Select welding rod to be used. Estimate quantity of welding rod required. c.  Determine material and consumables costs. d.  For each part, estimate welding cost. Show the assumptions and steps followed to estimate welding cost. e.  Derive total cost of the part.
3	Casting estimation: a.  Determine raw material volume for all casted parts (Determine input weight, cut weight, net weight, losses etc.). b.  Prepare pattern drawings (production drawings with all dimensions, surface finishes, allowances, etc.) for all parts. c.  Estimate pattern cost. d.  Determine material and consumables costs. e.  For each part, estimate casting cost. Show the assumptions and steps followed to estimate casting cost. f.  Derive total cost of the part.
4	Forging estimation:

	a.  Determine raw material volume for all forged parts. b.  Prepare die drawings (production drawings with all dimensions, surface finishes, allowances, etc.) for all parts. c.  Estimate dies cost. d.  Determine material and consumables costs. e.  For each part, estimate forging cost. Show the assumptions and steps followed to estimate forging cost. f.  Derive total cost of parts.
5	Machining estimation: a.  Determine raw material volume for all machined parts. b.  For each part, tabulate operation, cutting tool/s to be used and cutting parameters (speed, feed and depth of cut) to be used. c.  Estimate raw material cost. d.  For each part, estimate machining cost. Show the assumptions and steps followed to estimate machining cost. e.  Derive total cost of parts

 

 Course Assessment and Evaluation Scheme:                                                                                                     

 

	What		To who m	When/Where (Frequency in the course)	Max Marks	Evidence collected	Course outcomes
Direct Assessment	CIE	IA	Students	Three IA tests(Average of three tests will be computed)	20	Blue books	1,2,3,4,5,6
				Student activities	05	Activity sheets	1,2,3,4,5,6
	SEE	End Exam		End of the course	100	Answer scripts at BTE	1,2,3,4,5,6
Indirect Assessment	Student Feedback on course		Students	Middle of the course		Feedback forms	1,2,3 Delivery of course
	End of Course Survey			End of the course		Questionnaires	1,2,3,4,5,6 Effectiveness of Delivery of instructions & Assessment Methods

CIE- Continuous Internal Evaluation      SEE- Semester End Examination

 

Note: I.A. test shall be conducted for 20 marks. Average marks of three tests shall be rounded off to the next higher digit.

 

Note to IA verifier: The following documents to be verified by CIE verifier at the end of semester

 

1.       Blue books ( 20 marks)

2.       Student suggested activities report for 5 marks evaluated through appropriate rubrics.

3.       Student feedback on course regarding Effectiveness of Delivery of instructions & Assessment Methods

·       MODEL OF RUBRICS /CRITERIA FOR ASSESSING STUDENT ACTIVITY           RUBRICS MODEL

RUBRICS FOR ACTIVITY( 5 Marks)
Dimension	Unsatisfactory	Developing	Satisfactory	Good	Exemplary	Student Score
	1	2	3	4	5
Collection of data	Does not collect any information relating to the topic	Collects very limited information; some relate to the topic	Collect much information; but very limited relate to the topic	Collects some basic information; most refer to the topic	Collects a great deal of information; all refer to the topic	Ex: 4
Fulfill team’s roles & duties	Does not perform any duties assigned to the team role	Performs very little duties but unreliable.	Performs very little duties	Performs nearly all duties	Performs all duties of assigned team roles	5
Shares work equally	Always relies on others to do the work	Rarely does the assigned work; often needs reminding	Usually does the assigned work; rarely needs reminding	Normally does the assigned work	Always does the assigned work without having to be reminded.	3
Listen to other Team mates	Is always talking; never allows anyone else to speak	Usually does most of the talking; rarely allows others to speak	Talks good; but never show interest in listening others	Listens, but sometimes talk too much	Listens and speaks a fair amount	2
Average / Total marks=(4+5+3+2)/4=14/4=3.5=4

Note: This is only an example. Appropriate rubrics/criteria may be devised by the concerned faculty (Course Coordinator) for assessing the given activity.