Final Quoted costing of T- Shirt

Suppose:

1.     Body fabric consumption                 =4.05Kg/doz

     Total yarn consumption                    =4.05 +9% OWF

                                                                 =4.41Kg/ dz

2.     The current yarn price                       = $ 4.1 /kg

3.     PK knitting cost                                = $ 0.20/kg

4.     Average color dying only cost           =$1.21/Kg

5.     Flat knitting cost                               = $0.05/body

6.     Color & cuff consumption                =60g/body

     Color & cuff yarn charge                  =0.06×12+9%

                                                                  =0.78/kgdz

1^st Step:

Body fabric cost calculation 

Yarn price                                                  = $4.00

Knitting cost                                               = $ 0.20

Dyeing cost /kg                                           = $1.20

 

Finished fabric cost                                    = $5.41/kg

2nd Step

Color & cuff cost calculation

Yarn cost /dz                                              =$0.78× 4.00

Knitting charge /dz                                     =$0.05 ×12

                                                                   = $0.66

Dying charge                                              =0.78×$1.21

                                                                   = $0.94

Color &cuff costing                                    =$ 4.66

3rd Step

Total production cost

Body fabric cost /dz                                   = (4.41×$5.41)

                                                                   =$23.89

Color & cuff costing                                   = $4.66

CM/dz                                                          =$ 6.00

Accessories                                                   = $ 3.00

Total production costing                                =$ 37.52/doz

4^th step:

Final Cost

FOB price for buyer:-

Total production cost                                 = $37.52/dz

Commercial cost                                         = $ 0.95/dz

(3% accept CM)

 Profit of (20%CM)                                    = $1.20/dz)

Total FOB price                                         =$ 39.67/doz

So, Final Quoted price for buyer                =$3.35/PC (FOB)