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GATE Farm Machinery Management & Economics: practice questions

GATE — Agricultural Engineering (AG) · India · IITs and IISc on rotation (2026: IIT Guwahati)

Original practice questions written to the published syllabus · not past papers
10worked here, free
34written to this exam in this subject
10syllabus units

What this subject covers

Choosing, sizing, costing and replacing machines, and running a custom hiring centre that pays.

In the exams: GATE AG Sections 2 and 3 (machinery cost in 5 of 8 papers 2019–26); ICAR AIEEA-PG Unit V; NCEES PE (ASAE D497/EP496 supplied); PRC ABE machinery management

What GATE asks from it

GATE — Agricultural Engineering (AG)

Numerical answer items on theoretical and effective field capacity, field efficiency, cost of operation per hour, depreciation by straight line, declining balance and sum-of-years digits, and break-even area or hours for owning against custom hire.

Where the 34 questions fall

How our questions for GATE spread across the units of Farm Machinery Management & Economics. Difficulty: 2 easy, 23 medium, 9 hard.

Depreciation methods: straight line, declining balance, sum-of-years digits7
Theoretical and effective field capacity4
Tractor-implement matching4
Field efficiency and timeliness3
Fixed costs: depreciation, interest, taxes, insurance and housing3
Variable costs: repair and maintenance, fuel and labour3
Break-even use and custom-hire comparison3
Replacement decisions3
Machinery selection and sizing2
Custom hiring centre economics2

10 practice questions, worked

Choose an answer, then open the working. Each explanation says why the right answer is right and why the others are not.

1 · Theoretical and effective field capacity · medium

A 3-bottom mouldboard plough with 35 cm bottoms works at 4.5 km/h with 80 % field efficiency. How many hours of field time are needed to plough 12 ha?

  1. 3.17 h
  2. 25.4 h
  3. 31.7 h
  4. 20.3 h
Answer and working

C. 31.7 h

Width = 3 × 0.35 = 1.05 m; theoretical capacity = 4.5 × 1.05 / 10 = 0.4725 ha/h; effective = 0.378 ha/h; time = 12 / 0.378 = 31.7 h. 25.4 h ignores efficiency; 20.3 h multiplies area by efficiency instead of dividing, which makes the job look shorter when losses should make it longer. 3.17 h is a factor-of-ten slip.

2 · Field efficiency and timeliness · medium

A farm must harvest 60 ha with a machine of 1.5 ha/h effective capacity, working 10 h per day. Only 60 % of days are fit for harvest. How many calendar days should be planned?

  1. 4 days
  2. 7 days
  3. 10 days
  4. 3 days
Answer and working

B. 7 days

Days = 60 / (1.5 × 10 × 0.6) = 6.67, rounded up to 7. Ignoring the workable-day probability gives 60 / 15 = 4 days, which assumes every day is fit to work. 10 days divides the 4 fit-day answer by the 40 % unfit fraction instead of the 60 % fit fraction (4/0.4); 3 days multiplies by 0.6 instead of dividing (2.4, rounded up).

3 · Fixed costs: depreciation, interest, taxes, insurance and housing · medium

For the same power tiller (price 650,000, salvage 65,000) with interest at 12 %, what is the annual interest charge on average investment?

  1. 78,000
  2. 70,200
  3. 42,900
  4. 35,100
Answer and working

C. 42,900

Average investment = (P + S)/2 = (650,000 + 65,000)/2 = 357,500; interest = 357,500 × 0.12 = 42,900. Charging on full price gives 78,000; using (P − S)/2 gives 35,100. 70,200 charges interest on P − S (585,000 × 0.12).

4 · Variable costs: repair and maintenance, fuel and labour · medium

An operator is paid 75 per hour. The machine's effective field capacity is 0.5 ha/h, and paid labour hours are 10 % more than machine field hours. What is the labour cost per hectare?

  1. 135/ha
  2. 41.25/ha
  3. 150/ha
  4. 165/ha
Answer and working

D. 165/ha

Machine hours per hectare = 1/0.5 = 2 h; labour hours = 2 × 1.1 = 2.2 h; cost = 2.2 × 75 = 165 per hectare. 150 omits the allowance; 41.25 multiplies by capacity instead of dividing. 135 deducts the 10 % instead of adding it (2 × 0.9 × 75).

5 · Variable costs: repair and maintenance, fuel and labour · medium

A rotavator-tractor set burns 14 L/h of diesel at 90 per litre and covers 0.7 ha/h effectively. What is the fuel cost per hectare?

  1. 1,260/ha
  2. 882/ha
  3. 1,800/ha
  4. 20/ha
Answer and working

C. 1,800/ha

Fuel per hectare = 14 / 0.7 = 20 L; cost = 20 × 90 = 1,800 per hectare. Multiplying by capacity gives 882; 1,260 is cost per hour, not per hectare.

6 · Depreciation methods: straight line, declining balance, sum-of-years digits · medium

A combine costs 500,000, has an 8-year life and 50,000 salvage. What is its book value at the end of year 4 by sum-of-years digits?

  1. 175,000
  2. 375,000
  3. 325,000
  4. 275,000
Answer and working

A. 175,000

Fractions for years 1–4 = (8 + 7 + 6 + 5)/36 = 26/36; accumulated depreciation = 26/36 × 450,000 = 325,000; book value = 500,000 − 325,000 = 175,000. Straight line gives 275,000; ascending digits (1 + 2 + 3 + 4 = 10) give 375,000.

7 · Replacement decisions · medium

A machine's resale value is 580,000 at the end of year 3 and 500,000 at the end of year 4, and its repairs in year 4 cost 110,000. Its minimum average annual cost (over 3 years) is 183,333. What is the marginal cost of keeping it for year 4 (loss in resale value during year 4 plus repairs in year 4)?

  1. 610,000
  2. 185,000
  3. 110,000
  4. 190,000
Answer and working

D. 190,000

Marginal cost = (580,000 − 500,000) + 110,000 = 190,000. It exceeds the minimum average of 183,333, confirming replacement after year 3. 110,000 is repairs only; 185,000 is the 4-year average, not the marginal cost. 610,000 adds the resale value itself to the repairs (500,000 + 110,000).

8 · Replacement decisions · medium

As a machine ages, how do its annual depreciation and annual repair cost usually change?

  1. Both fall steadily
  2. Depreciation falls and repair cost rises, so average cost is U-shaped
  3. Depreciation rises and repair cost falls, as the machine settles in with age
  4. Both rise steadily
Answer and working

B. Depreciation falls and repair cost rises, so average cost is U-shaped

Market value drops most in the early years and repairs grow with accumulated wear. Their sum averaged over years owned is U-shaped, with the minimum at the economic life.

9 · Tractor-implement matching · medium

A 3-bottom plough with 30 cm bottoms works at 15 cm depth in soil with a specific resistance of 0.8 kgf/cm², at 4.5 km/h. What drawbar power is needed?

  1. 10.59 kW
  2. 1.35 kW
  3. 47.7 kW
  4. 13.24 kW
Answer and working

D. 13.24 kW

Cross-section = 3 × 30 × 15 = 1,350 cm²; draft = 0.8 × 1,350 = 1,080 kgf = 10.59 kN. Power = 10.59 × 4.5 / 3.6 = 13.24 kW. Forgetting the 3.6 conversion gives 47.7 kW; 10.59 is the draft in kN, not power; 1.35 treats kgf as newtons, leaving out g (1,080 N × 1.25 m/s = 1.35 kW).

10 · Tractor-implement matching · medium

A tractor can deliver 15 kW at the drawbar at 6 km/h. A harrow has a draft of 3.0 kN per metre of width. What is the widest harrow it can pull at that speed?

  1. 5.0 m
  2. 30 m
  3. 0.83 m
  4. 3.0 m
Answer and working

D. 3.0 m

Available pull = power × 3.6 / speed = 15 × 3.6 / 6 = 9.0 kN; width = 9.0 / 3.0 = 3.0 m. 5.0 m divides power by draft per metre, ignoring speed. 30 m is a factor-of-ten slip; 0.83 m forgets the 3.6 conversion (15/6/3.0).

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Read the subject

Farm Machinery Management & EconomicsThe full study manual, free GATEFormat, sections and how it has changed

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