Other Calculations
Tooling cost payback per part is calculated with the following formula:
Tooling Cost Payback Per Part =
Hard Tooling Cost / (Part Annual Volume x Components Per Product x Payback Period)
Tooling cost payback per part depends on the following:
• Hard tooling cost (see
Tooling Cost)
• Part annual volume
• Components per product
• Payback period (either default plant variable or part production life)