Production Cost 3000 3050 3100

Direct Raw Material Cost (we assume the price is

$ 102,000 $ 103,700 $ 105,400
$3.4 @Kg for 1 unit needed 10Kg raw material)
Direct Labor Cost (we assume the labor cost $7
$ 168,000 $ 170,800 $ 173,600
@Hour for 1 unit needed 8Hours)
Depreciation Cost:
Office Building $ 10,000 $ 10,000 $ 10,000

Warehouse Building $ 10,000 $ 10,000 $ 10,000

Machineries $ 2,000 $ 2,000 $ 2,000

Overhead Cost:
Overhead Variable Cost:
Electricity Cost $ 2,070 $ 2,105 $ 2,139
Overhead Fixed Cost :
Electricity Cost $ 3,578 $ 3,578 $ 3,578
Raw Material Inspection $ 2,517 $ 2,517 $ 2,517
Total Cost $ 303,165 $ 307,750 $ 312,334
Sales (assume that product price $305/unit) $ 915,000 $ 930,250 $ 945,500
Gross Profit $ 611,835 $ 622,500 $ 633,166
 Company X
Production Budget
3150 3200 3250 3300 3350 3400
$ 107,100 $ 108,800 $ 110,500 $ 112,200 $ 113,900 $ 115,600

$ 176,400 $ 179,200 $ 182,000 $ 184,800 $ 187,600 $ 190,400

$ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000

$ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000

$ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000

$ 2,174 $ 2,208 $ 2,243 $ 2,277 $ 2,312 $ 2,346

$ 3,578 $ 3,578 $ 3,578 $ 3,578 $ 3,578 $ 3,578

$ 2,517 $ 2,517 $ 2,517 $ 2,517 $ 2,517 $ 2,517
$ 316,919 $ 321,503 $ 326,088 $ 330,672 $ 335,257 $ 339,841
$ 960,750 $ 976,000 $ 991,250 $ 1,006,500 $ 1,021,750 $ 1,037,000
$ 643,831 $ 654,497 $ 665,162 $ 675,828 $ 686,493 $ 697,159
 Company X
roduction Budget
3450 3500 3550 3600 3650 3700
$ 117,300 $ 119,000 $ 120,700 $ 122,400 $ 124,100 $ 125,800

$ 193,200 $ 196,000 $ 198,800 $ 201,600 $ 204,400 $ 207,200

$ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000

$ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000

$ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000

$ 2,381 $ 2,415 $ 2,450 $ 2,484 $ 2,519 $ 2,553

$ 3,578 $ 3,578 $ 3,578 $ 3,578 $ 3,578 $ 3,578

$ 2,517 $ 2,517 $ 2,517 $ 2,517 $ 2,517 $ 2,517
$ 344,426 $ 349,010 $ 353,595 $ 358,179 $ 362,764 $ 367,348
$ 1,052,250 $ 1,067,500 $ 1,082,750 $ 1,098,000 $ 1,113,250 $ 1,128,500
$ 707,824 $ 718,490 $ 729,155 $ 739,821 $ 750,486 $ 761,152
 3750 3800 3850 3900 3950 4000
$ 127,500 $ 129,200 $ 130,900 $ 132,600 $ 134,300 $ 136,000

$ 210,000 $ 212,800 $ 215,600 $ 218,400 $ 221,200 $ 224,000

$ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000

$ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000

$ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000 $ 2,000

$ 2,588 $ 2,622 $ 2,657 $ 2,691 $ 2,726 $ 2,760

$ 3,578 $ 3,578 $ 3,578 $ 3,578 $ 3,578 $ 3,578

$ 2,517 $ 2,517 $ 2,517 $ 2,517 $ 2,517 $ 2,517
$ 371,933 $ 376,517 $ 381,102 $ 385,686 $ 390,271 $ 394,855
$ 1,143,750 $ 1,159,000 $ 1,174,250 $ 1,189,500 $ 1,204,750 $ 1,220,000
$ 771,817 $ 782,483 $ 793,148 $ 803,814 $ 814,479 $ 825,145
 Electricity
Output Cost Electricity
2,200 5,000 5,700
2,500 5,300 5,600
5,500 f(x) = 0.69x + 3578
2,900 5,450 R² = 0.6045714286
5,400
2,600 5,600 5,300
5,200

Cost
5,100
5,000
4,900
4,800
4,700
2,100 2,200 2,300 2,400 2,500 2,600 2,700 2,800 2,900 3,000
Output
00 2,900 3,000
 Raw Material Inspection
Year Raw Material Inspection
Hours Cost
2013 100 2500 2900
2014 150 2650 2800 f(x) = 4.2301710731x + 2060.1866251944
2015 175 2800 R² = 0.9588387766
2016 180 2850 2700

2600

Cost
2500

2400

2300
90 100 110 120 130 140 150 160 170 180
Hours
 Inspection

060.1866251944

140 150 160 170 180 190

Hours