Visvesvaraya Technological University

Post Graduate Centre, Machhe, Belgaum – 590 018.

Department of Product Design and Manufacturing

ASSIGNMENT -1
1. “Innovation is important but risky”, comment on the statement.
2. What do you mean by a new product? What are the sources of new product ideas?
3. List and explain the various initiating factors for new products.
4. Explain reactive and proactive strategies & also advantages and disadvantages.
5. Explain the key aspects of the design process.
6. Explain the following a) Idea generation b)Monopoly competitive
7. Discuss the general characteristics of markets
8. Explain in detail, any two models of sales forecasting.
9. Explain with a neat sketch how cross functional integration helps in New product
strategy.
10. Explain the opportunity matrix for product development strategy.

ASSIGNMENT -2
1. Explain standardization and list its aims? List the different types of standardizations
and mention the advantages of standardization.
2. Location ‘A’ would result in annual fixed costs of Rs.300000, variable cost of
Rs.63/unit and revenues of Rs.68/unit. Annual fixed costs for location ‘B’ are
Rs.800000, variable costs are Rs.32/unit and revenues are Rs.68/unit. Sales volume is
estimated to be 25000 units/year. Which location is more attractive? Solve by both
graphical and analytical methods of break even analysis techniques.
3. Plot the break even chart and indicate all the salient points. Explain breakeven point
and margin of safety.
4. XYZ hotel is offering customer a vacation plan for 10,000 per couple for 3 days for a
suite room. The hotel estimates that fixed costs associated with this offer are 15 lakh
and for a volume of 300 customers the hotel variable costs would be ` 1 lakh and
profits is ` 7.5 lakh.
i) Find the break even volume.
ii) If fixed costs remain constant, how many additional customers would be
required to increase profits to 10 lakh .
5. Alpha associates has the following details:
Fixed cost = Rs.20,00,000
Variable cost / unit = Rs.100
Selling price / unit = Rs.200
Find(i) Break even sales quantity
(ii) Break even sales.
(iii) If actual production quantity is of 60000, find contribution and margin of safety.
(iv) Break even point.
6. Explain briefly, steps involved in the optimum process in manufacturing planning.
7. What is optimizations? Explain the below point in detailed.
i. Work study
ii. Method study
iii. Motion study.
iv. Job evaluation
 v. Work sampling
8. Find the material cost for finished component shown in fig. The density of brass is
8gm/cm3 and cost of brass is Rs.24/kg.

9. Calculate the volume and weight of C.I. block shown in fig. if the density of the material is
7.2gm/cm3.20% of the finished material required for the job is lost in various machining
processes.

10. A gas engine flywheel is shown in fig. Estimate the weight of the flywheel if the material
weights 7.2gm/cm3.

ASSIGNMENT-3
1. List the basic steps in value engineering.
2. What is value analysis? Explain the steps to be followed in value analysis, with a suitable
Example. List the aims of value analysis.
3. Explain with an illustration, the selection of cutting speed for optimum cost from the value
analysis perspective.

5. Find the time required to turn 2.5 cm diameter bar to the dimensions shown in the
following fig. Cutting speed shall be 13.5 metre per minute and feed 16 cuts per cm. All
cutsshall be 3.125 mm deep. As shown in figure.
6. Explain in brief, in different phases of value analysis.
7. Find the time required to manufacture the part shown in Fig. from a round bar of 80 mm
dia and 120 mm length. Assume following data : cutting speed 75 meters per minute,
Hand feed by compound rest = 0.05 mm/revolution. Depth of cut should not exceed 4 mm.

8. Two hundred pieces of bolt to be made by upsetting from 25mm diameter as shown in Fig
What is length of each bolt before upsetting? What is length of rod required if 3.5%
of length gets scrap?

ASSIGNMENT – 4
1. What is costing? List and explain the objectives of costing.
2. What is cost estimation? Explain the steps involved in cost estimation? What are the aims
of estimation?
3. What will be the effects of the following on an enterprise:
i) Over estimating ii) Under estimating
4. Compare between estimating and costing.
5. List the main items to be estimated in order of the sequence in estimating procedure.
6. With a neat sketch, explain the composition of costs traditionally used in accounting, for
the price of a manufactured product.
7. Describe the procedure of estimating, in sequence.
8. A CI pulley is shown below. Take density of CI as 7021 kg/m3. Calculate the weight of the
 component. What is the cost of material if CI costs Rs. 45 per kg, All dimension in cm

10. The wedge shown in Fig.is to be made of 38.1 mm dia bar stock by forging.
Calculate what length of bar shall be required, if the volume of metal remains unchanged.

11. What is meant by cost accounting? Mention the principal methods of costing.

12. Data regarding the expenditure made on a machine during month of march 2000 are as
follows :
Cost of machine = Rs. 6,00,000
Estimated scrap value = Rs. 1,00,000
Effective working life = 20,000 hours
Power charges = Rs. 5 per hour
Repairs and maintenance cost during the month is estimated as = Rs. 3,000
Standing charges (i.e. charges for insurance, lighting and rentetc) for the month= Rs. 6,000
Duration of work in March 2000 150 hours
Calculate :
i) Hourly rate of depreciation
ii) Machine hour rate.

13. Estimate the forging cost? Types of forging & loses of forging?

ASSIGNMENT -5

1. For the manufacture of 1000 bolts and nuts per hour, an industrial unit under goes the
following expenses.
Direct material cost = 3500, Direct labour cost =2000, Direct expenses =750, Factory on cost
= 150% of total labour cost. Office on cost = 30% of total factory cost. The bolt and nut is
sold at `10.25/piece.
Make calculations to work out the loss or gain per piece to the management.
2. Estimate the time taken to manufacture a bolt as shown in Fig. from mild steel bar 10.7
cm long and 20 mm diameter. Assume:
i) Feed for all turning operations = 0.16 mm/rev
ii) Cutting speed for turning = 20 meters/min
iii) Cutting speed for threading = 12 meters/min
iv) Depth of cut not to exceed 3 mm in any operation
v) Number of cuts taken for threading = 5
vi) Pitch of threads = 2 mm.

3. A factory is making electric tubes in batches of 1000. The direct material cost for these
1000pieces is Rs. 16,000 and the direct labour cost is Rs 20,000. Factory cost is 35% of the
material and labour cost. Administration and overhead charges are 20% of factory cost. If the
management wants, to make a profit of 20% and gross cost, determine the selling cost ofeach
electric tube light’
4. Following data is regarding the expenditure made on a small machine during a month :
Cost of machine — Rs 6,000/-
Estimated scrap value --- Rs, 1,000/-
Effective working life — 20,000 hours
Power charges - Rs. 0.50 per hour
Repair and maintenance cost during the month — Rs. 30/-
Standing charges (i.e lighting, insurance etc) for the month — Rs. 60/-
Duration of work in the month —150 hours
Calculate: Hourly rate of depreciation&Machine hour rate.
5. Estimate the total time taken to turn a 3cm diameter, 15cm long MS stock to 2.8cm
diameterin a single cut. Assume the cutting speed to be 20m/min and the feed to be
0.2mm/rev. Thejob is to be mounted in a self centering 3 jaw chuck. The loading and
unloading time is 60sec. Neglect the time taken for setting up of tools etc
6. The dimensioned Fig. show a lathe centre. Estimate the weight and cost of material for
the same, if the material weighs 7.787 gm/cu cm and the material cost is ` 100/kg.
7. Explain briefly components of direct labour cost
8. A factory uses job costing. The following data is obtained from its books for the year
ending 31st March 2012.
Direct materials Rs. 90,000
Direct wages Rs. 75,000
Profit Rs. 60,900
Selling and distribution overheads Rs. 52,500
Administrative overheads Rs. 42,000
Factory overheads Rs. 45,000
Prepare a job cost sheet indicating the prime cost, work cost, production cost, and cost of
saleand the sales value.

9. XYZ factory is producing 1000 bolts and nuts per hour on a machine. Its material cost is
Rs.400 labour cost is Rs 350 and direct expense is Rs 75. Factory on cost is 150% of labour
cost and office on cost is 25% of factory cost. If selling price of each bolt and nut is Rs 1.75,
Calculate whether the factory is going in loss or gain and by what amount.

10. Estimate the time taken to manufacture a bolt shown in Fig from a mild steel bar of
10.7cm long and 20mm diameter assume the following:
i) Feed for all turning operation = 0.16mm/rev
ii) Cutting speed for turning = 20 meters/mt
iii) Cutting speed for threading = 12 meters/mt
iv) Dip of cut not to exceed 3mm in any operation
v) Number of cuts taken for threading = 5
vi) Pitch of threads = 2mm

11. Find out the prime cost of each department, cost of production, selling cost. Find out
cost/unit also.
Given 6000 copies to be printed and published
Printing depth. : Paper: Rs.3000; Ink:Rs.420;Compositors: Rs.1850; Proof reader :Rs.350
Printers: Rs.720
Works on cost = 40% of prime cost
Binding depth. : Leather: Rs.750; Cloth: Rs.450; Card-board: Rs.525; Gold: Rs.225
Sundries: Rs.150; Cuttings: Rs.150; Folding; Rs.20; Sewing: Rs.40
Binding: Rs.150; Finishing: Rs.75
 Works on cost = 30% of prime cost
Office on cost = 15% of factory cost
13. In a production concern; the variable overhead charges are Rs.2per article and the fixed
overhead charges per month are Rs.35,000. It is estimated that 65,000 articles are produced
each month under normal conditions. Find
a) The normal overhead cod per article.
(b) If the factory cog drops to 85% production. The overhead charges that are unrecovered.
(c) If the production i8 increased to 130%, by what amount these charges will be over
recovered.
Take the overhead rate per the same as that during normal conditions.
14. A manufacturing concern purchases two similar machines at Rs.14,000 each.You are
required to work out the total rate machine hour for each machine, exclusive of labour and
materials used, based on the following data

The machine will be worth Rs.2500 each in ten years’ time, and depreciation on the fixed
method is to be allowed. The machines will be used for 2200 hours per year and they will
each require 10 units of power per hour at 15 paisa a unit. Repairs are estimated at Rs.150
each per annum. The overhead charges for each machine are Rs.600. The machines together
occupy one-sixth of the floor space and they are to bear their respective position of rent rates
and water, lighting and heating. The rent etc. of the works amounts to Rs.1200, and the
lighting and heating to Rs.650.

15. A machine costing Rs. 10,000 is expected to run for 10 years at the end of which period,
its scrape value is likely to be Rs. 900. Repairs during the whole life of the machine are
expected are to be R8. 1800 and the machine is expected to run 4380 hours per yearon the
average. Its electricity consumption 15 15 units per hour, the rate per unit being 5 paisa. The
machine occupies one-fourth, of the area of the department and has two points out of a total
of ten for lighting.The foreman has to devote about one-third of his time to the machine. The
monthly rent of the department is Rs.300 and the lighting charges amount to Rs. 80 per
month. The foreman is paid a monthly salary of Rs. 480 . Find out the machine hour rate
assuming insurance is @1 p.a. and the expenses on oil etc. are Rs.9 per month.

16.Calculate the machine hour rate from the following data:

Cost of machine =Rs. 35,000

Estimated life =15,000 Hours
Estimated scrap value =Rs.5000
Estimated working hours per annum= 2200
Estimated hours required for maintenance etc. (included in above) =200 hours
 Power 20 units @ 0.07 per hour. Cost of repairs and maintenance estimated per
annum=Rs.1500
Number of operators who are also looking after 3 other machines=2
Wages per operator =Rs. 250 p.m.
Chemicals required for operating the machine per month=Rs. 100
Over heads chargeable to the machine per month=Rs. 200
Insurance premium =l% per annum.

. ASSIGNMENT -6

1. List the various labour, material and overhead variances and briefly explain overhead
variances.
2.For producing a commodity, the standard quantity of material required was fixed at 10 kg
and standard price was fixed at Rs.2 per kg. The actual quantity consumed was 12 kgs and
the actual price paid was Rs.1.90 per kg. Calculate material price variance, material quantity
variance and material cost variance and do verification.
3. Explain the term material usage variance. List the reasons why this variance occurs.
4. Write a note on target costing.
5. Explain the following terms, with examples
i) Direct and indirect labour cost
ii) Direct and indirect material cost
6. From the following particulars compute:
i) Materials cost variance ii) Materials price variance iii) Materials usage variance.
Quantity of materials purchased 3,000 units
Value of materials purchased Rs. 9,000
Standard quantity of materials required per tonne of output 30 units
Standard rate of material Rs 2.5 per unit
Opening stock materials Nil
Closing stock of materials 500 units
Output during the period 80 tonnes

7. The product price and cost data of a plant is as follows. Fixed cost per year = Rs, 8,000/-.
Total sales of the three product = 25,000 units. The management decides to drop the product
C and introduce product D

Name of the product Unit price (Rs) Unit Variance % Sales Units
cost(Rs)
A 8 5 30
B 12 10 20
C 24 15 50
Find out whether it is worth dropping product C and introduce product D?
Name of the product Unit price (Rs) Unit Variance % Sales Units
cost(Rs)
A 8 5 40
B 12 10 20
D 30 20 40
Total fixed costs per year Rs 800/- and total sales for three products 27,000 units.
8. What is depreciation? Explain different methods of deprecation and causes of
depreciations?

ASSIGNMENT -7
1.Two operators engaged on a forging machine complete 20 jobs, each weighing 5 kg in a
shift of 8 hours. They are paid at the rate of ` 600 and ` 400 per day. The forging material
costs ` 200 per kg. If the overhead and administrative expenses are 150% of labour cost, find
the cost of production per unit.

2. Lap joint is to be prepared in 9.5 mm M.S. sheet using flat welding position and 6 mm
electrode. Current used is 250 amperes and voltage 30 V. Welding speed is 12 metres/hour
and 0.3 kg of metal is deposited per metre length of joint.
i) Labour costs Rs.1.50/hour
ii) Power Rs.0.20/KWh
iii) Electrode Rs.4.0/kg
iv) Efficiency of machine is 50%
v) Operating factor is 60%
Calculate the cost of labour, power and electrode/meter of weld and profit.
3.A factory is producing 1000 bolts and nuts per hour on a machine. Its material cost is
Rs.400, labour cost Rs.350 and direct expense is Rs.75. The factory on cost is 150% of the
total labour cost and office on cost is 25% of the total factory cost. If the selling price of
each bolt and nut is Rs.1.75, calculate whether the factory is going in loss or gain and by
what amount.
4.What is the cost of welding two plates 100cm long, 30cm wide and 4mm thickness to make
apiece of 100 x 60 cm size. Assume
a. Consumption of oxygen = 0.2 m3/hour b. Consumption of acetylene = 0.2 m3 / hr
c. Diameter of filler rod = 3mm d. Filler rod used per metre of weld = 2 metre
e. Rate of welding = 5 metres / hour f. Cost of oxygen = Rs 0.70 per m3
g. Cost of1.%acetylene = Rs 2.00 per m3h. Cost of filler metal = Rs 1.50 per kg
i. Density offiller metal = 8gm/cc. No preparation of edges is required. Use leftward
technique
5. 150 pieces of shaft as shown in Fig.Q8 are to be drop forged from the raw stock of 2 cm
diameter. Estimate the cost incurred assuming that:
i) Material cost = ` 5.20 per meter
ii) Cost of forging = ` 120.5/m2
iii) Overhead expenses to be 100% of the cost of forging.
6. What is cost of welding two piece as shown in Fig Q7(a) long 30cm wide and 4mm
thickness to make a piece of 100×60cm size. Assume the following :
i) Consumption of oxygen = 0.2cu metre/hour
ii) Consumption of Acetylene = 0.2cm meter/hour
iii) Dia of filler rod = 3mm
iv) Filler rod per meter of weld = 2 meter
v) Rate of welding = 0.5 meter /hour
vi) Cost of oxygen = 0.70/cu meter
vii) Cost of acetylene = Rs 2.00 meter
viii) Density of filler metal = 8gm/CC
No preparation of edges is required. Use leftward technique.

7. A bevel gear blank is to be turned from a solid cylindrical casting on a lathe. The dia. of
brass casting is 381 mm. The dimensions of the blank are as shown in Fig. Calculate the cast
of machining and also the weight of the blank and total coat of the finished part. Assume the
rate of machining the surface to be Rs.0.05 per Square cm of the machined surface. Cost of
brass Rs.24 per kg. Brass weighs 8.1 grams/cm3

8. A welded platform top is made by 20mm steel plates requiring 10 joints of 1metre length
each. The welding is done from one side only using Semi-automatic submerged arc welding set
and 4S.W.G. electrode is 'used. The labour charges are Rs.1.50 per hour.The length of electrode
required per metre run is 2.5 metres and costs Rs.0.60/metre. Power consumption is 6.0 kWh per
metre of weld and power costs Rs.0.20 per kWh. The time required for welding 1 metre length
is 18 minutes. Assuming overhead charges as Rs. 0.25 per hour, calculate the
expenditure incurred in welding.

9. A small fuse box 25 cm long, 17.5 cm wide and 5cm deep with a lid 2.5 cm deep is to be
manufactured in grey iron. It has the usual legs and ears with an average thickness of 3.9 mm.
The pattern supplied by the customer is of the loose type, hence, bench moulding is to be
followed. Estimate the selling price per piece, given the following data

i) Cost, of iron at the cupola spout=60paise per kg.

ii) Cost of process scrap return =30paise per kg.

iii) Administrative on cost =Rs.2`00 per hour

Process Time Labour charges per Works on cost per

min hour
Moulding & pouring 20mins Rs.2.00 Rs.3.00
Shot blasting 2mins Rs.0.20 Rs.5.00
Fettling 1min Rs.0.05 Rs.3.00

ASSIGNMENT -8
1. Write short notes on the following:
a) Cost optimization techniqueb) Role of “learning curves” in cost optimization
c) Elements of cost
2. Write short notes on
a) Lead user analysis. b) Alliances, acquisitions and licensing. c) Cost control and cost
reduction. d) Direct material variance. e) Labour time variance.
3.Write notes on:
i) Analytical cost optimization technique ii) Elements in overhead costSelection of cutting iii)
Speed for optimal cost iv)Forecasting sales
4. Write a short note on the following:
a. Analytical method of optimization technique.
b. Graphical method of optimization technique.c. Break even analysis.
d. Value analysis
5. Write short notes on the following:
Elements of cost.
Desirable characteristics of market.
New product stratergies.
Standard unit time.
6. Write short notes on the following :
Cost centers
Labour variance
Cost optimization techniques
Learning curves.