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Unread 19-10-2006, 23:25
Cai ZhongHan Cai ZhongHan is offline
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Join Date: May 2005
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Re: Cost Determination, Section 5.3.4.4

Quote:
Example: A team purchases a 4' x 4' sheet of aluminum, but only uses a piece 10” x 10” on their robot. The team identifies a source that sells aluminum sheet in 1’ x1’ pieces. The team may cost their part on the basis of a 1’ x 1’ piece, even though they cut the piece from a larger bulk purchase. They do not have to account for the entire 4’ x 4’ bulk purchase item.
My understanding of the rule: suppose aluminium sheet in 1' x 1' pieces costs $y, and aluminium sheet of 4' x 4' costs $x
you use 10" x 10", and the smallest amount of aluminium sheet ANYONE can buy is 1' x 1'
generally, x<16y (4*4=16) due to economy of scale
The cost will be $x/16, instead of $y.

Is it unfair?
Yes, because some teams may not be able to afford the $x to buy that 4' x 4' sheet of aluminium and will have to put $y in the BOM
No, because any team that can afford it will be able to buy 4' x 4' aluminium at $x and put $x/16 in the BOM
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