How to Calculate Garments Cost of Making (CM) ?

Definition

"CM" which abbreviation meaning is Cost of Making. If we get know about of it easily garments costing & budget find out where individual cost of garments. Actually costing process of estimating and then determining the total cost of producing a garments, including the cost o materials, labor and transportation as well as general expenses of the operation of business. Its is most valuable part of garments sector. Which depend own business standing position. 

Cost of Making

How many information to know for  garments Cost of Making?

• For factory expenditure per month, where including factory rent, electronic bill, water bill, commercial cost, transportation, worker & staff salary etc.
• Total machine quantity of factory.
• Total machine quantity required to proceed goods item bass.
• Per Hour targeted production which by existing layout.
• Total working day per month.
• Total working hour per month

As per above method will be described for finding Cost of Making theory as follow

Cost  of Making- Step:01

Cost  of Making- Step:02

Example

Details of Order

Seem that "Suprov Composite Knit Ltd" has received a export order which export dealing qty 10,000 pcs & item T-Shirt.

Details of Factory

Surpov Composite per month expenditure is - 35,00,000 Taka.

Total machine quantity -200 Pcs

Total qty of machine require to complete goods -50

Per hour

production existing layout -180

Per month all working day - 26

Per month working hours  - 8

Now let get started to find out factory actual cost of making 

Solution for Cost of Making 

Starting time will be calculated one pcs item then multiply which with export qty.

Speech from writer:

Here mainly described of garments cost of making basic concept. If you have any reactions or comments feel free inform me. 

N:B: Step by Step I submit  about of Sweater, Knit & Woven Cost of Making & Budget Sheet for better understanding ...