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Prof Awad S. Hanna Equipment Costs and Sources of E QUIPMENT C OST.

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Presentation on theme: "Prof Awad S. Hanna Equipment Costs and Sources of E QUIPMENT C OST."— Presentation transcript:

1 Prof Awad S. Hanna Equipment Costs and Sources of E QUIPMENT C OST

2 Prof Awad S. Hanna PURCHASED EQUIPMENT  A Contractor does not pay for construction equipment, the equipment must pay for itself.  Estimate Must Include costs of Owning and Operating Equipment which include: 1.Depreciation (function of purchase price, salvage price and time) 2.Investment (function of interest, insurance, taxes, and storage) 3.Maintenance and Repair (function of condition of use) 4.Fuel, Oil, and Lubrication (function of site efficiency and operating conditions)

3 Prof Awad S. Hanna Sources of Equipment Costs  Cost Reference Guide for Construction Equipment, Dataquest Inc.  Provide hourly ownership and operating costs  Rental Rates Blue Book, Dataquest Inc.  Local rental agency data

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