=128. Machine Excavation.=—On work of moderately large magnitude excavation by machine is cheaper than by pick and shovel alone. In comparing the cost of excavation by the two methods all items such as sheeting, pipe laying, backfilling, etc., should be included, since these items will be affected by the method of excavation. The cost of setting up and reshipping the machine must be included as this is frequently the item on which the use of the machine depends. Because of the cost of setting up and shipping, which must be distributed over the total number of yards excavated, the cost per cubic yard of excavating by machine varies with the number of cubic yards excavated. The point of economy in the use of a machine is reached when the cost by hand and by machine are equal. For all work of greater magnitude, excavation by machine will prove cheaper.[81] Items favoring the use of machinery which may cause its adoption for small jobs are: its greater speed, reliability, ease in handling, economy in sheeting, economy in labor, and small amount of space needed making it useful in crowded streets. Continuous bucket machines, drag lines, and occasionally steam shovels are not adapted to conditions where rocks, pipes and other underground obstacles are frequently met. The following problem is an example of the work necessary in making a comparison of the relative economy of machine and hand excavation: It is assumed that a man can excavate 15 feet of trench 30 inches wide and 8 feet deep in 10 hours. He receives 55 cents per hour for his work. A machine costing $10,000 has a life of 6 years. It can be kept busy 150 days in the year. When operating it costs $1.25 per hour for the operator, fuel and repairs. It will excavate 800 linear feet of 30 inch trench to a depth of 8 feet in 10 hours. It is assumed that capital is worth 10 per cent on such a venture and that the sinking fund will draw 10 per cent. If the cost of moving and setting up the machine is $1,800, how many cubic yards of excavation must there be to make excavation by machine economical? Costs of sheeting, pumping, etc., are assumed to be the same for machine or hand work. _Solution._—For hand work the man excavated 1.11 cubic yard per hour at 55 cents. The relative cost of hand excavation is then 50 cents per cubic yard. The cost of machine work will be divided into: interest on first cost; operation and repairs; and sinking fund for renewal. The interest on the first cost of $10,000 at 10 per cent is $1,000 per year. The machine works 1,500 hours in the year. Therefore the cost per hour is $0.67. The sinking fund payment, as found from sinking fund tables or the accumulation of $10,000 in. 6 years, is $1,300 per year or per hour for 1,500 hours is $0.87. The cost of operation per hour is given as $1.25.