Heat Exchanger, Coil & Radiator Manufacturing worked example

Cost Per Coil at 92% cost capture factor: a worked example

What does the result look like when cost capture factor reaches 92%? The full calculation is worked below with real intermediate numbers. Use it when quoting HVAC coils, radiators, condensers, evaporators, oil coolers, or heat exchanger assemblies and you need a fast unit cost build-up.

The inputs for this scenario

  • Coils in quote lot: 100 coils (unchanged)
  • Variable cost per coil: 45 $ / coil (unchanged)
  • Cost capture factor: 92 % (raised for this scenario; the documented default is 80)
  • Fixed setup or tooling cost: 250 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Total captured coil cost = coils in quote lot × variable cost per coil × cost capture factor + fixed setup or tooling cost) to the inputs above produces each figure below.
  • At this operating point the engine returns 4,390 $ for total captured coil cost, the number this scenario is built around.
  • At this operating point the engine returns 43.9 $ / piece for estimated cost per coil.
  • At this operating point the engine returns 4,140 $ for captured variable cost.
  • At this operating point the engine returns 250 $ for fixed setup or tooling cost.

How this compares with the baseline

  • Against the tool's baseline example, where cost capture factor sits at 80% and the headline result is 3,850 $, this scenario comes in 14.03% above the baseline at 4,390 $.
  • A figure at this level is achievable when cost capture factor is genuinely sustained, not just peaked for a shift. The capture factor is a blended estimate of how much variable cost you actually book against the job; it does not replace a true bill-of-materials cost roll or activity-based costing.

Results at a glance

  • Total captured coil cost: 4,390 $ (headline result)
  • Estimated cost per coil: 43.9 $ / piece
  • Captured variable cost: 4,140 $
  • Fixed setup or tooling cost: 250 $

Run it with your numbers

  • Every input above is editable in the live Cost Per Coil calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.