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Budget

The budget can be analyzed by considering three aspects: time already spent, estimated time to spend, and cost of parts. Each of these elements must be treated differently. The time already spent is the most accurate section of the budget, having been compiled from existing data. The cost of parts is slightly subjective as suppliers can change prices, alternate suppliers can be found, and in some cases no specific supplier is specified and market values have been estimated. The estimated time to spend is the most inaccurate section of the budget. Since the type of work to be done during the final stages of the production of a prototype is unlike the previous work, no estimation made for that time can be very accurate. Also, with no other available external benchmarks for the assembly and testing phases, the assumptions for those times are subject to variation.

Time Already Spent

Table 2: Accumulated Project Time
Type Hours Cost
Engineering 396.5 $ 19 825.00
Clerical 67.5 3 375.00
Technical 24.0 1 200.00
Consulting 15.0 750.00
Total 503.0 $ 25 150.00

Through the time of writing this report the team has committed about 503 hours to the project. This time has been mostly spent in design and engineering, but also includes a significant amount of clerical time, along with some technician time, and a small amount of consultant time. This time was billed at an average of $50 per hour, which averages not only the different salary levels of the roles, but also facilities charges. Table 2 breaks down the time and charges.

Estimated Time To Spend

Table 3: Estimated Project Time
Task Hours Cost
Programming 80.0 $ 4 000.00
Control Subsystems 60.0 3 000.00
Supply Subsystems 60.0 3 000.00
Integration 50.0 2 500.00
15% Buffer 37.5 1 875.00
Total 287.5 $ 14 375.00

The majority of the work will now be spent building, testing, and troubleshooting the design. This time is broken down in Table 3. The time will again be billed at $50 per hour.

Cost of Parts

The parts of the system are tallied in the bill of materials in Table 4. These parts are all subject to changes in price by the distributors, and other distributors may be found. The parts costs have been collected for the prototype as well as for a production run of 1 000. The figures for the processor for the production run are misleading. In an actual production run the processor would probably be replaced with a custom chip, since the software for the device is unlikely to change after the prototype has undergone significant testing. However, since cost information is not readily available for a custom chip, the cost of a quantity of microprocessors is used for this price estimation.

Table 4: Bill of Materials
  Prototype Per M
Item Count Description Attributes Value Each Total Each Total
1 4 1N4002 DO-41   $ 0.06 $ 0.24 $ 0.04 $ 0.14
2 11 2N6659 TO-205AD   0.76 8.40 0.34 3.74
3 5 74ALS02 DIP14   0.42 2.10 0.25 1.25
4 5 74ALS04B DIP14   0.45 2.25 0.25 1.25
5 5 74ALS30A DIP14   1.25 6.25 0.28 1.40
6 10 74ALS244A DIP20   1.34 13.40 0.59 5.90
7 10 74ALS373 DIP20   1.00 10.00 0.59 5.90
8 5 74ALS1004 DIP14   0.80 4.00 0.35 1.75
9 5 74ALS1010A DIP14   1.30 6.50 0.42 2.10
10 5 74ALS74 DIP14   0.55 2.75 0.22 1.10
11 22 A4N25 DIP6   0.43 9.46 0.32 7.08
12 5 ADC10462 DIP24   12.45 62.25 7.40 37.00
13 35 C CK05 10u @50 0.69 24.15 0.29 10.26
14 29 C CK05 1000u @50 4.39 127.31 1.87 54.26
15 37 C CK05 .1u @100 0.24 8.88 0.13 4.96
16 10 C CK05 .47u @100 0.68 6.78 0.35 3.53
17 10 C CK05 .01u @100 0.15 1.50 0.08 0.78
18 15 C CK05 100u @50 1.03 15.45 0.44 6.57
19 2 LM113 DO-204AH   11.30 22.60 7.51 15.02
20 1 LM138 TO-220   3.01 3.01 1.14 1.14
21 10 LM7805C TO-220   1.23 12.30 0.46 4.60
22 5 MAX471 DIP8   4.46 22.30 2.18 10.90
23 2 R RC05 1751.7 5.00 10.00 1.00 2.00
24 2 R RC05 875.85 5.00 10.00 1.00 2.00
25 5 R RC05 100k 0.15 0.75 0.02 0.11
26 2 R RC05 54.74 5.00 10.00 1.00 2.00
27 2 R RC05 13.68 5.00 10.00 1.00 2.00
28 2 R RC05 109.48 5.00 10.00 1.00 2.00
29 120 R RC05 10k 0.15 18.00 0.02 2.40
30 2 R RC05 218.96 5.00 10.00 1.00 2.00
31 2 R RC05 437.92 5.00 10.00 1.00 2.00
32 120 R RC05 20k 0.15 18.00 0.02 2.40
33 2 R RC05 120 1.50 3.00 0.75 1.50
34 2 R RC05 3.421 5.00 10.00 1.00 2.00
35 120 R RC05 1k 0.15 18.00 0.02 2.40
36 5 R RC05 680 0.15 0.75 0.02 0.10
37 2 R RC05 27.37 5.00 10.00 1.00 2.00
38 2 R RC05 6.84 5.00 10.00 1.00 2.00
39 5 R_var R_var 500k 3.55 17.75 2.05 10.25
40 5 SE1216 DIP8   3.45 17.25 1.72 8.60
41 5 uA741 DIP8   0.91 4.55 0.34 1.70
42 11 2N2806 TO-205AD   0.84 9.24 0.35 3.85
43 1 LM137 TO-220   3.95 3.95 1.55 1.55
44 1 VPS-36-2200     26.84 26.84 18.58 18.58
45 2 VPS-1--2500     15.40 30.80 10.68 21.36
46 1 SPDT 12V relay     8.30 8.30 7.15 7.15
47 1 Case     35.00 35.00 6.50 6.50
48 1 Heat sink     60.00 60.00 35.00 35.00
49 1 86JB2-201 20 Pin Matrix Keypad   13.70 13.70 8.99 8.99
50 1 MM74C923 20-Key Encoder   2.89 2.89 1.74 1.74
51 1 7474     0.49 0.49 0.28 0.28
52 1 C   1mF @ 5V 0.15 0.15 0.08 0.08
53 1 C   0.1mF @ 5V 0.15 0.15 0.08 0.08
54 1 LM555     0.51 0.51 0.31 0.31
55 1 Piezo Electric Buzzer 4.4kHz Im=200mA @ 5V     -   -
56 1 R   270 0.15 0.15 0.02 0.02
57 1 R   137k 0.15 0.15 0.02 0.02
58 1 Red LED   Imax = 30mA 0.78 0.78 0.52 0.52
59 1 C   10mF @ 5V 0.15 0.15 0.08 0.08
60 1 C   0.01mF @ 5V 0.15 0.15 0.08 0.08
61 1 MC68HC812A4PV8     - - 100.00 100.00
62 1 MC68HC12A4EVB     329.00 329.00 - -
63 1 M68SCBUG12     120.00 120.00 - -
64 1 MAX691ACSE     5.99 5.99 3.97 3.97
65 1 DMC-40457N     63.84 63.84 51.16 51.16
66 1 GH7001-ND Solid State Relay   9.12 9.12 7.75 7.75
67 1 7433   NOR Gate 0.49 0.49 0.28 0.28
  Subtotal $ 1 291.77   $ 499.44
  5% Tax $ 64.59   $ 24.97
  Total $ 1 356.36   $ 524.41

(All resistors 1% 1/4W unless precision)

The total project design cost should be around $40 880. This number represents about 800 hours of development, as well as the cost of parts. A somewhat similar power supply is advertised at $429 by KepcoŽ. However, Push-Button Power with its extensibility and current control features would sell for somewhat more. Given this, it would take significantly more than 1 000 units to recover the research and development costs.