HVAC Ductwork, Air Handling & Mechanical Products worked example

Quote Price at 92% overhead and margin factor: a worked example in hvac ductwork, air handling & mechanical products

Suppose overhead and margin factor falls to 92%. This page works the full calculation at that level so you can see exactly which result moves and by how much. Build a total quote price for a ductwork fabrication, air handling unit supply, or mechanical product contract. Combine unit count, material and labor cost per unit, an overhead and margin rate, and fixed project cost to get total quoted price and per-unit sell price.

The inputs for this scenario

  • Duct sections, fittings, or AHU units in scope: 80 units (held at the documented default)
  • Direct cost per unit (material plus labor): 58 $ / unit (held at the documented default)
  • Overhead and margin factor: 92 % (the input this scenario stresses; the baseline uses 128)
  • Fixed project costs (engineering, submittals, PM): 1,800 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Variable quoted cost = units × direct cost per unit × overhead and margin factor.
  • Weighted cost works out to 6,069 $ at these inputs, and this is the headline figure for the scenario.
  • Per piece value works out to 75.86 $ / piece at these inputs.
  • Captured value works out to 4,269 $ at these inputs.
  • Fixed adjustment works out to 1,800 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where overhead and margin factor sits at 128% and the headline result is 7,739 $, this scenario comes in 21.58% below the baseline at 6,069 $.
  • It computes a total quoted price and a per-unit sell price by applying an overhead-and-margin factor to direct unit costs and adding fixed project costs. When the numbers land here, the stressed input is the lever to work; the walkthrough above shows exactly how much each output recovers as it climbs back toward the baseline.

Results at a glance

  • Weighted cost: 6,069 $ (headline result)
  • Per piece value: 75.86 $ / piece
  • Captured value: 4,269 $
  • Fixed adjustment: 1,800 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Quote Price calculator, set overhead and margin factor to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.