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How do you calculate the cost price per tonne of crushed stone, taking into account fuel and downtime?

The cost price per tonne of crushed stone depends on fuel consumption and downtime (factor 42-68%), and amounts to 120–380 roubles/t; fuel consumption meters and downtime logs are taken into account; unscheduled downtime increases the cost by 15–22%.

How to calculate the cost price per tonne of crushed stone, taking into account fuel and downtime

The cost price per tonne of crushed stone, taking into account fuel and downtime, is calculated using the formula: the sum of all direct and indirect costs divided by the actual volume of output for the reporting period; according to the engineering reference range, the final figure for a standard crushing plant falls within the range of 120 to 380 roubles per tonne, depending on operating conditions.

Basic method for calculating fuel costs

The actual fuel consumption for each crushing cycle is recorded based on the readings from the equipment’s built-in consumption meters; according to actual measurements, the average consumption for a mobile crushing plant with a capacity of 150 tonnes per hour is between 18 and 25 litres of diesel per hour of continuous operation, with the cost of one litre of fuel based on the current market price on the date of calculation.

Accounting for costs associated with equipment downtime

The duration of downtime is recorded in the crushing section’s time log, in accordance with the equipment manufacturer’s official specifications, the total duration of scheduled downtime for maintenance and the replacement of wear parts is at least 8 hours for every 160 hours of actual operation of the complex, whilst all labour costs and depreciation charges incurred during downtime are fully allocated to the cost of goods manufactured.

Calculation of the final cost per tonne of output

All the cost figures obtained are totalled and divided by the actual volume of crushed stone produced during the reporting period in question; according to the calculations, the impact of fuel and downtime on the final production cost ranges from 42 to 68 per cent of the total costs, with the deviation from the average value depending on the distance of the quarry from refuelling points and the frequency of unscheduled equipment breakdowns.

Specification of parameters for calculating the cost price of crushed stone

Parameter name Standard/Engineering reference range Data source type Diesel fuel consumption per hour of operation 18–25 litres (measured data) Duration of scheduled downtime for maintenance 8 hours per 160 hours of operation (official specification) Coefficient of the impact of fuel and downtime on production cost 42–68 per cent of calculations Range of total production cost per tonne of crushed stone 120–380 roubles of calculations

Frequently Asked Questions

First question: How should the calculation be adjusted in the event of unscheduled downtime? Answer: All costs associated with staff downtime pay and the cost of equipment repair are added to the total cost and allocated to the volume of output produced during the period in which the breakdown occurred; according to actual data, the proportion of unscheduled downtime increases the cost price per tonne of crushed stone by an average of 15 to 22 per cent. Second question: Is the fuel used to transport crushed stone to the warehouse taken into account in the calculation? Answer: Yes, if transport is carried out using the enterprise’s own vehicles, all fuel costs for the transport units are included in the overall cost structure when calculating the final cost price of the product. Third question: Is it permissible to use average fuel consumption figures for a preliminary calculation? Answer: Yes; for a preliminary assessment, it is permissible to use the ‘engineering reference range’ of fuel consumption values specified in the technical documentation of the crushing equipment manufacturer; however, to obtain an accurate result, actual meter readings for the period in question must be used.

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