Standard Practice for Life Cycle Cost Analysis of Commercial Food Service Equipment

SCOPE
1.1 This standard practice for life cycle cost analysis of commercial food service equipment is designed for producers and end-users to utilize when forecasting and (or) evaluating the life cycle costs of equipment by accounting for tangible differences in operating and maintenance costs of commercial food service equipment. Results of the analysis detailed in this standard practice are intended for budgetary purposes.
1.1.1 The results may also be used to compare projected life cycle cost of different models from a single manufacturer, or models manufactured by multiple suppliers, or to establish when it is cost effective to replace a specific equipment versus incurring continued maintenance expenses.
1.2 Major categories included in this analysis include total purchase price, service and repair costs, preventative maintenance costs, utility operating costs and disposal costs. The results may be quantified as a yearly running total and a net present value.
1.3 Inputs for this life-cycle analysis will need to come from a variety of sources, including manufacturers, service agents, utility companies, and end users. Not all input variables need be considered for effective analysis. To avoid skewing the results, sections where reliable estimates are not available should be left out of the analysis.
1.4 The values stated in inch-pound units are to be regarded as standard. The values given in parentheses are mathematical conversions to SI units that are provided for information only and are not considered standard.

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NOTICE: This standard has either been superseded and replaced by a new version or withdrawn.
Contact ASTM International (www.astm.org) for the latest information
Designation: F2687 − 07 AnAmerican National Standard
Standard Practice for
Life Cycle Cost Analysis of Commercial Food Service
Equipment
This standard is issued under the fixed designation F2687; the number immediately following the designation indicates the year of
original adoption or, in the case of revision, the year of last revision. A number in parentheses indicates the year of last reapproval. A
superscript epsilon (´) indicates an editorial change since the last revision or reapproval.
1. Scope F1361 Test Method for Performance of Open Deep Fat
Fryers
1.1 This standard practice for life cycle cost analysis of
F1484 Test Methods for Performance of Steam Cookers
commercial food service equipment is designed for producers
F1496 Test Method for Performance of Convection Ovens
and end-users to utilize when forecasting and (or) evaluating
F1521 Test Methods for Performance of Range Tops
the life cycle costs of equipment by accounting for tangible
F1605 Test Method for Performance of Double-Sided
differences in operating and maintenance costs of commercial
Griddles
food service equipment. Results of the analysis detailed in this
F1639 Test Method for Performance of Combination Ovens
standard practice are intended for budgetary purposes.
(Withdrawn 2012)
1.1.1 The results may also be used to compare projected life
F1695 Test Method for Performance of Underfired Broilers
cycle cost of different models from a single manufacturer, or
F1696 Test Method for Energy Performance of Single-Rack,
models manufactured by multiple suppliers, or to establish
Door-Type Commercial Dishwashing Machines
when it is cost effective to replace a specific equipment versus
F1704 Test Method for Capture and Containment Perfor-
incurring continued maintenance expenses.
mance of Commercial Kitchen Exhaust Ventilation Sys-
1.2 Major categories included in this analysis include total
tems
purchase price, service and repair costs, preventative mainte-
F1784 Test Method for Performance of a Pasta Cooker
nance costs, utility operating costs and disposal costs. The
F1785 Test Method for Performance of Steam Kettles
results may be quantified as a yearly running total and a net
F1786 Test Method for Performance of Braising Pans
present value.
F1787 Test Method for Performance of Rotisserie Ovens
F1817 Test Method for Performance of Conveyor Ovens
1.3 Inputsforthislife-cycleanalysiswillneedtocomefrom
a variety of sources, including manufacturers, service agents, F1920 Test Method for Performance of Rack Conveyor,
utility companies, and end users. Not all input variables need Commercial Dishwashing Machines
F1964 Test Method for Performance of Pressure Fryers
be considered for effective analysis. To avoid skewing the
results, sections where reliable estimates are not available F1965 Test Method for Performance of Deck Ovens
F1991 Test Method for Performance of Chinese (Wok)
should be left out of the analysis.
Ranges
1.4 The values stated in inch-pound units are to be regarded
F2022 Test Method for Performance of Booster Heaters
as standard. The values given in parentheses are mathematical
F2093 Test Method for Performance of Rack Ovens
conversions to SI units that are provided for information only
F2140 Test Method for Performance of Hot Food Holding
and are not considered standard.
Cabinets
F2141 Test Method for Performance of Self-Serve Hot Deli
2. Referenced Documents
Cases
2.1 ASTM Standards:
F2142 Test Method for Performance of Drawer Warmers
F1275 Test Method for Performance of Griddles
F2143 Test Method for Performance of Refrigerated Buffet
and Preparation Tables
F2144 Test Method for Performance of Large Open Vat
This practice is under the jurisdiction of ASTM Committee F26 on Food
Fryers
Service Equipment and is the direct responsibility of Subcommittee F26.05 on Life
F2237 Test Method for Performance of Upright Overfired
Cycle Cost and Sustainability.
Broilers
Current edition approved Nov. 1, 2007. Published December 2007. DOI:
10.1520/F2687-07.
For referenced ASTM standards, visit the ASTM website, www.astm.org, or
contact ASTM Customer Service at service@astm.org. For Annual Book of ASTM
Standards volume information, refer to the standard’s Document Summary page on The last approved version of this historical standard is referenced on
the ASTM website. www.astm.org.
Copyright © ASTM International, 100 Barr Harbor Drive, PO Box C700, West Conshohocken, PA 19428-2959. United States
F2687 − 07
F2238 Test Method for Performance of Rapid Cook Ovens 3.1.9 annualized maintenance cost—total annual cost of a
F2239 Test Method for Performance of Conveyor Broilers service maintenance contract that includes material (parts),
F2324 Test Method for Prerinse Spray Valves labor, travel and other related costs for the period of ownership
F2379 Test Method for Energy Performance of Powered after the warranty has expired.
Open Warewashing Sinks
3.1.10 anticipated equipment lifespan (yr)—expected lifes-
F2380 Test Method for Performance of Conveyor Toasters
pan of the appliance for the purpose of this analysis or the
F2472 Test Method for Performance of Staff-Serve Hot Deli
expected years after which the appliance will be replaced. This
Cases
maybeprojectedbasedoninputfromthemanufacturer,dealer,
F2473 Test Method for Performance of Water-Bath Rether-
user’s experience or expected operating environment.
malizers
3.1.11 discount rate—discount rate is defined as the rate
F2474 Test Method for Heat Gain to Space Performance of
used to convert future costs or benefits to their present value.
Commercial Kitchen Ventilation/Appliance Systems
Discounting determines the value, in today’s dollars, of a
F2519 TestMethodforGreaseParticleCaptureEfficiencyof
benefit that will be realized at a future date. This rate varies
Commercial Kitchen Filters and Extractors
according to interest and inflation rates.
2.2 ASHRAE Standard:
3.1.12 disposal costs—assumes expenses related to
ASHRAE Standard 72-2005 Method of Testing Commercial
decommission,dismantle,disposeand/orrecycletheproductat
Refrigerators and Freezers
the end of its life cycle.
2.3 ARI Standard:
3.1.13 electricity rate ($/kWh)—electric power rate in $ per
ARI Standard 810-2006 Performance Rating of Automatic
kWh. Either the local or regional rate where the appliance is
Commercial Ice Machines
located or national average rate may be used.
3. Terminology
3.1.14 estimated install time (h)—estimated time to install
the appliance in hours.
3.1 Definitions of Terms Specific to This Standard:
3.1.1 additional operating costs—assumes miscellaneous
3.1.15 estimated teardown time (h)—labor hours required
operating expenses required for operation, including consum-
for teardown.
able supplies, for example, air or water filters.
3.1.16 extended warranty cost—cost of extended warranty
3.1.2 additional setup costs/quoted installation— other in-
if not included in purchase price. Typically this includes the
stallation costs such as material, travel charges etc.
additional cost of warranty for equalization of warranty period
from different manufacturers.
3.1.3 additional teardown costs—other special costs that
may be incurred and can be allocated to equipment teardown
3.1.17 freight charges—cost of shipping the appliance from
such as special license, dismantling of components containing
supplier FOB location to desired destination.
hazardous materials etc.
3.1.18 gas rate ($/therm)—gas (natural or propane) rate in $
3.1.4 annual electricity consumption (kWh)—average an-
per therm. Either the local or regional rate where the appliance
nual electric power usage rate for the appliance during its
is located or national average rate may be used.
lifespan for this analysis in kWh.
3.1.19 hazardous material costs—special fees or surcharges
3.1.5 annual gas consumption (therms)—average annual
that may be levied for removal and/or disposal of hazardous
gas usage rate for the appliance during its lifespan for this
materials in the appliance or its components.
analysis in therms.
3.1.20 hourly labor cost—hourly labor rate of servicing the
3.1.6 annual preventative maintenance costs— assumes ex-
appliance during the first year of ownership period after the
penses to perform preventative maintenance and repair as
warranty has expired. Either the local rate where the appliance
outlined by the product’s original manufacturer; assumes parts,
is located or national average rate may be used.
labor, travel, supplies and additional costs incurred during a
3.1.21 hourly labor cost—the average annual cost of non-
fiscal year.
unit producing labor in $/hour to clean and maintain the
3.1.7 annual service and repair costs—assumes expenses to
appliance on a regular basis (excluding preventative mainte-
perform non-scheduled service and repair on the product
nance).
during a fiscal year; includes parts, labor, travel, supplies and
3.1.22 install labor rate—hourly labor rate for installation
additional costs.
labor.
3.1.8 annual water consumption (ccf)—average annual wa-
3.1.23 in-store training/demo costs—cost of materials, labor
ter usage rate for the appliance during its lifespan for this
or travel for initial training of store personnel and/or demon-
analysis in thousands of cubic feet.
stration of the new appliance by dealer. This does not include
recurring training expense for periodic training or new em-
ployee training.
Available from American Society of Heating, Refrigerating, and Air-
Conditioning Engineers, Inc. (ASHRAE), 1791 Tullie Circle, NE, Atlanta, GA
3.1.24 labor inflation rate—estimated annual inflation rate
30329, http://www.ashrae.org.
of hourly labor rate during ownership period but after the
Available fromAir-Conditioning and Refrigeration Institute (ARI), 4100 North
Fairfax Drive, Suite 200, Arlington, VA 22203. warranty has expired.
F2687 − 07
3.1.25 labor rate—hourly labor rate of servicing technician 3.1.42 total annual labor cost—average annual labor costs
for teardown of the appliance at the end of appliance lifespan. for operation of the appliance during its lifespan in $.
Either the local rate where the appliance is located or national
3.1.43 total annual utility cost—average annual utility costs
average rate may be used.
for operating the appliance during its lifespan in $.
3.1.26 net present value—the net present value represents
3.1.44 total annual water/sewer cost—annual cost of water
the total amount of funds required to purchase, operate and
and sewer for using the appliance in $.
maintain the equipment of its expected lifespan using the
3.1.45 total initial cost—total cost of appliance that will be
current value of those funds, based on the discount rate.
used in calculating life cycle cost.
3.1.27 operating labor cost—non-unit producing labor costs
3.1.46 total installation/commissioning cost—costofinstal-
includes annual labor to clean and maintain the appliance on a
lation and commissioning that will be used in calculating life
regular basis (excluding preventative maintenance). Unit pro-
cycle cost. Does not include equipment training costs.
ducing labor costs includes incremental gains due to reduced
3.1.47 total labor hours—average annual labor hours ex-
labor required for production. This is useful for comparing
pended by non-unit producing personnel during the lifespan of
similar but different processes.
this appliance.
3.1.28 other costs—other annual costs of servicing the
3.1.48 total teardown/decommissioning cost—total cost of
appliance during ownership period but after the warranty has
uninstalling the utility hook-ups from the appliance and re-
expired, that can be quantified such as supplies, disruption etc.
moval of any special mounting adaptations.
3.1.29 parts inflation rate—estimated annual inflation rate
3.1.49 utility cost summary—assumes utility expenses to
of replacement parts during ownership period but after the
operate the product during a fiscal year, including electric, gas,
warranty has expired.
water and sewer connection costs.
3.1.30 purchase price—net price that will be paid to the
3.1.50 utility inflation rate—estimated annual inflation rate
dealer or manufacturer for this appliance.
of utilities during ownership period. An average rate for gas,
electric and water/sewer may be used for the purpose of this
3.1.31 rebates/incentives—value of total rebates from
analysis.
utilities, manufacturer, government or any other source, that is
not included in purchase price.
3.1.51 warranty period—warranty period of the appliance
for the purpose of this analyses in years, rounded to 1st
3.1.32 replacement part cost—cost of parts that will be
decimal.
purchased for service during the first year of ownership period
after the warranty has expired.
3.1.52 water rate ($/ccf)—water utility supply rate in $ per
thousand cubic feet ($/ccf). Either the local or regional rate
3.1.33 setup/installation costs—assumes expenses to ship
where the appliance is located or national average rate may be
the product, install, set-up and conduct initial training.
used.
3.1.34 sewer rate ($/ccf)—sewage water disposal rate in $
per thousand cubic feet ($/ccf). Either the local rate where the 4. Summary of Practice
appliance is located or national average rate may be used.
4.1 Detailed information is gathered on the capital outlay,
3.1.35 start-up cost—any other cost of material, labor or estimated maintenance and operating costs and, if applicable,
fees that will be paid to start operating this appliance. the disposal costs for a chosen piece of commercial food
service equipment. This information may be collected from a
3.1.36 supplies cost—average annual cost of supplies nec-
variety of sources, including but not limited to, manufacturers,
essary for operating the appliance efficiently and as recom-
service agents, utility companies, and end users.
mended by the manufacturer. Examples of such supplies
include water filter, oil filter, de-liming solution, replaceable 4.2 The compiled information on a chosen piece of com-
lining etc. but excluding preventive maintenance items. mercial food service equipment is prorated for each operating
year, using a discount rate and the net present value of the
3.1.37 supplies inflation rate—estimated annual inflation
equipment is determined. The accuracy of the resulting analy-
rate of supplies during ownership period.
sis is dependant on the quality of the collected information.
3.1.38 tax rate—total state and local sales tax rate as a
4.3 The analysis is then completed for additional pieces of
percentage.
commercial food service equipment, as necessary.
3.1.39 total accessories price—cost of accessories required
to operate the appliance efficiently. When comparing multiple 5. Significance and Use
models, add (or d
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