Tank, Vessel & Pressure Equipment Fabrication worked example

Fabricated Vessel Cost at 92% billable and recovery factor: a worked example

Push billable and recovery factor up to 92% and the picture changes. This example computes every intermediate figure at that operating point. Use it when fabricated vessel cost in tank, vessel and pressure equipment fabrication is being put through a tank, vessel and pressure equipment fabrication weighted-cost review.

The inputs for this scenario

  • Vessel fabrication hours: 100 hours (unchanged)
  • Loaded shop labor rate: 45 $ / hour (unchanged)
  • Billable/recovery factor: 92 % (raised for this scenario; the documented default is 80)
  • Fixed engineering and setup cost: 250 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Fabricated Vessel Cost cost = quantity × rate × capture factor + fixed cost) to the inputs above produces each figure below.
  • At this operating point the engine returns 4,390 $ for weighted cost, the number this scenario is built around.
  • At this operating point the engine returns 43.9 $ / piece for per piece value.
  • At this operating point the engine returns 4,140 $ for captured value.
  • At this operating point the engine returns 250 $ for fixed adjustment.

How this compares with the baseline

  • Against the tool's baseline example, where billable and recovery factor sits at 80% and the headline result is 3,850 $, this scenario comes in 14.03% above the baseline at 4,390 $.
  • It multiplies fabrication hours by the loaded labor rate and a recovery factor, adds fixed setup cost, and divides by quantity for a per-piece figure. The value of this scenario is the size of the gap it exposes: that gap, priced out over a year, is the budget you can justify spending to close it.

Results at a glance

  • Weighted cost: 4,390 $ (headline result)
  • Per piece value: 43.9 $ / piece
  • Captured value: 4,140 $
  • Fixed adjustment: 250 $

Run it with your numbers

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

Last reviewed 2026-05-12.